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I strongly disagree with this. An efficient market requires that consumers have accurate information available to them in order to compare prices, just as an ef
by matthewdgreen 4y ago
I strongly disagree with this. An efficient market requires that consumers have accurate information available to them in order to compare prices, just as an efficient market requires a government that prevents outright fraud.
Retail businesses spend a lot of effort manipulating the customer experience using A/B testing: they understand that there's a time and information asymmetry between business and consumer, and so they go to great lengths to withhold pertinent information so that the consumer can't compare prices before shopping. A standard technique is to advertise one price, then tack on unadvertised "fees" that only appear later in the checkout process once a consumer has invested significant time and effort into the order. An even uglier one (hey DoorDash) is to advertise a "delivery fee" up front and then later present a separate line item labeled "taxes and fees" that contains a second portion of the delivery fee (previously unadvertised and also labeled in a deceptive way.)
If you want to let businesses mislead consumers without limit, then you might as well build a society that legalizes false or fraudulent advertising entirely: that's close to what these businesses are doing here.