Re:You Want 20% for Handing Me a Muffin? The Awkward Etiquet...
by tedunangst on Wednesday October 17, 2018 @03:55PM
(#18243107)
But what if the cost of the muffin itself went up 20%? Would people stop buying it? The shops around here don't even list prices for muffins. It could be $3 or it could be $5. Customers seem to think they can afford it either way.
Re:You Want 20% for Handing Me a Muffin? The Awkward Etiquet...
by SilasX on Wednesday October 17, 2018 @04:38PM
(#18243567)
I was referring to the case where all expenses go up 20% and claiming that most people's budgets couldn't handle it (cf. stories about not handling a $500 unexpected bill). This is the relevant case to compare to if you take tptacek's advice seriously and operate your life on it -- you can't just say "Hey, it's 80 cents, obviously people don't turn away from that". You have to ask, "what if I responded to all requests for a tip at electronic PoS this way?"
Goods do fluctuate in price day-to-day, but in an uncorrelated fashion; that kind of fluctuation doesn't have the same effect since some are up and others down.
Edit: I would say it is indeed unreasonable to expect people to increase payment on any good by 20% merely on the chance that they might be expected to -- few people can afford 20% slack on every purchase. Also, I only brought up VS because I'd seen you question the utility of the concept and this seemed illustrative.