I like price discrimination. Price discrimination lets airlines price first class tickets above cost so coach tickets can be priced at marginal cost. It’s a way to charge the rich more. If you have an extensive library they figure you’re not poor. If your wife’s library is small, they might be guessing that she can’t afford to buy a lot of games.
Edit: to judge price discrimination, you have to hold constant how free/competitive the market is. If things are bad because of monopolization or other shenanigans, that’s a separate issue. But if there’s good competition, the price discrimination will be a good thing.
Airlines are the worst example of this that I know of.
It’s not just the rich they will target.
They (including everyone) will and do use this technology along with data they harvest from you (from other parts of your online life) to make you pay as much as you can to get things you need.
Price discrimination lets airlines price first class tickets above cost so coach tickets can be priced at marginal cost.
Economy tickets aren’t priced at marginal cost. The first available economy seats are priced at a base rate. As the plane fills up, economy seat prices increase. Then the original economy passengers are bombarded with emails and texts asking them to upgrade to premium, when higher class tickets go unsold.
There’s also a secondary market for tickets exploited by resellers (Expedia, etc) that buy up in advance and try to leverage corporate discounts for a profit.
But all of this ultimately making flying more confusing, more difficult, and less flexible (it’s basically impossible to cancel a ticket now), due to all the middle men playing hot potato with unsold seats.
The “optional play” for flying is to just go to the airport and gamble on standby tickets, which require you to have far more free time than free cash. If you need to keep a schedule, this is a horrible model.
That is not price discriminationprice discrimination would be you having to pay more than someone else for the same products or service. Imagine paying more than someone else for the same tickets, just because. Or maybe black people have to pay more. That is price discrimination
I’m going to assume that you posted this trying to price me wrong but you didn’t check your sources and proved me right in the process
Price discrimination, known also by several other names, is a microeconomicpricing strategy whereby identical or largely similar goods or services are sold at different prices by the same provider to different buyers, based on which market segment they are perceived to be part of
The service for bothtiers is NOT the same. It is not discrimination
I like price discrimination. Price discrimination lets airlines price first class tickets above cost so coach tickets can be priced at marginal cost. It’s a way to charge the rich more. If you have an extensive library they figure you’re not poor. If your wife’s library is small, they might be guessing that she can’t afford to buy a lot of games.
Edit: to judge price discrimination, you have to hold constant how free/competitive the market is. If things are bad because of monopolization or other shenanigans, that’s a separate issue. But if there’s good competition, the price discrimination will be a good thing.
Airlines are the worst example of this that I know of.
It’s not just the rich they will target.
They (including everyone) will and do use this technology along with data they harvest from you (from other parts of your online life) to make you pay as much as you can to get things you need.
Economy tickets aren’t priced at marginal cost. The first available economy seats are priced at a base rate. As the plane fills up, economy seat prices increase. Then the original economy passengers are bombarded with emails and texts asking them to upgrade to premium, when higher class tickets go unsold.
There’s also a secondary market for tickets exploited by resellers (Expedia, etc) that buy up in advance and try to leverage corporate discounts for a profit.
But all of this ultimately making flying more confusing, more difficult, and less flexible (it’s basically impossible to cancel a ticket now), due to all the middle men playing hot potato with unsold seats.
The “optional play” for flying is to just go to the airport and gamble on standby tickets, which require you to have far more free time than free cash. If you need to keep a schedule, this is a horrible model.
That is not price discriminationprice discrimination would be you having to pay more than someone else for the same products or service. Imagine paying more than someone else for the same tickets, just because. Or maybe black people have to pay more. That is price discrimination
https://en.wikipedia.org/wiki/Price_discrimination
I’m going to assume that you posted this trying to price me wrong but you didn’t check your sources and proved me right in the process
The service for bothtiers is NOT the same. It is not discrimination
That is the most ignorant thing ive read all day. Congratulations.