2 ms·

Further, to the degree that tip anchoring reduces tipping variance, the anchoring should actually make the system work better overall.

• dragonwriter 9y ago
  > Further, to the degree that tip anchoring reduces tipping variance. Does it do that at all? I would suspect that it increases the mean but also the variance.
  • harryh 9y ago
    That's a good question. My intuition is that it would decrease the variance as people would be drawn towards the anchor. But I could be wrong. We'd need empirical data to know. There is public data available on credit card purchases in NYC cabs. That will just give you the data for payments with the anchor though, not the cash payments made without it.
    • dragonwriter 9y ago
      > My intuition is that it would decrease the variance as people would be drawn towards the anchor. If it's anchor vs. no norm, sure. But anchoring is trying to move a pre-existing social norm as to tipping rates, so its an additional competing standard to which some but not all people will be drawn from whatever their prior basis was, not a standard introduced where none existed before.
      • harryh 9y ago
        Ya, that makes sense. Could go either way. Def one of those "not gonna know without looking at the data" situations.