What’s up, Thingers?
In 1999, Coca-Cola’s CEO floated raising prices on hotter days using new technology in their vending machines. This caused an uproar of bad press and the company backed off their plan. Today, that sort of variable pricing is commonplace, with companies hiding behind algorithms and economic shocks to shield themselves from malicious price-gouging tactics. This week, we find out how we lost control of the concept of a “fair price.”
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Our guest this week is Lindsay Owens, President and CEO of the Groundwork Collaborative and author of the new book Gouged: The End of a Fair Price — and What That Means for Your Wallet.
What’s the most egregious price you’ve run into lately? Let us know in the comments below, and scroll down for links to research and stories discussed in the episode.
More on the Instacart experiment is available here.
If you want to check out the survey we discuss in the episode and test the fairness of your friends and family, check it out here: Fairness as a Constraint on Profit Seeking: Entitlements in the Market
The New York Times, 1999: Coke Tests Vending Unit That Can Hike Prices in Hot Weather
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