The Welfare Effects of Dynamic Pricing: Evidence from Airline Markets

Re:The Welfare Effects of Dynamic Pricing: Evidence from Air... by mdavis6890 on Friday March 25, 2022 @10:50AM (#30802851)

I think the difference in the Amazon example is that it’s about you as an individual, rather than general market circumstances.

I think most of us are okay paying a surge rate to Uber when it’s raining at the ballpark (market circumstances), but not just because you are on the way to the hospital (personal circumstances).

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Re:The Welfare Effects of Dynamic Pricing: Evidence from Air... by eganp on Friday March 25, 2022 @03:36PM (#30806258)

Never thought of this distinction before! Thanks for making this distinction.

This seems to hold in other contexts. People tend to tolerate price discrimination at an aggregate level (e.g. senior/student discounts) but loathe individual-level price discrimination (e.g. college tuition). I wonder if it's the unfairness or uncertainty

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