Anomalies and enigmas tipping

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A brief presentation about the economics of tipping

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  • Anomalies and enigmas
  • Tipping: Where does it happen? Why does it happen? What makes it an economic anomaly?
  • Can somebody make a living as a street musician?
  • Do you give a tip when you get your hair cut or styled?
  • Is the waiter spilling the soup because he’s got his other hand out looking for the hidden gratuity?
  • Do you tip when taking a cab ride or pay only what’s on the meter?
  • What about when you stay at a hotel? Do you tip the bell captain who brings your luggage to your room?
  • Tipping is often a cash transaction. Does that matter?
  • Is tipping like doing a favor for a friend, perhaps in return for a favor done for you?
  • Is tipping conformity to social custom?
  • Is tipping like charity? Do you give to charity? Is it the same motive with tipping?
  • Is every show of appreciation a tip?
  • Quite often the tip is not included in the bill. The buyer specifies the tip after the fact.
  • Does Homo Economicus leave a tip? Is tipping a rational thing to do?
  • A research paper on tipping by OferAzar of Northwestern University.
  • Anomalies and enigmas tipping

    1. 1. Anomalies and Enigmas<br />

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