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Offering discounts to insurance companies and people who bargain is how they do it, but it's still price discrimination. In fact that's how prove discrimination
by tempestn 5y ago
Offering discounts to insurance companies and people who bargain is how they do it, but it's still price discrimination. In fact that's how prove discrimination usually works. The more effort you put in, or the more market power you have, the better price you're able to get. That effort is a proxy for your willingness to pay.
"Ability to pay" might have been too narrow a phrasing though. Often as not it's instead essentially "ability to not pay", as with insurance companies using their bargaining power.
Now, will a law requiring prices to be posted prevent them from discounting the price? If only the powerless actually pay the sticker price it becomes a bit meaningless, so maybe? It would depend on the details of the law and its interpretation though, and I won't pretend to be knowledgeable there.