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London Transport (uk.transport.london) Discussion of all forms of transport in London. |
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#1
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Stephen Sprunk writes:
Here in many (if not all) parts of Europe, the price that you pay for something already has relevant taxes figured in. That way seems more logical. It's certainly more efficient. .... and in my experience it makes for a lot more peace-of-mind when shopping. Even though one _can_ just mentally add on the tax rate when looking at an item, there's something really comforting about knowing that the price shown on the tag is actually the exact amount of money you'll have to fork over. This is especially true for high-priced items (where the difference isn't trivial), but it's also is really nice for _low_ priced items, where you can actually look at the amount of money you have in your hand, and be completely sure you'll have enough... [I suppose one reason U.S. retail businesses would vehemently object to a VAT or "more honest labelling" regulations, is that the "perceived price" of their goods would go up, even if the amount paid by customers stayed the same...] -Miles -- Selfish, adj. Devoid of consideration for the selfishness of others. |
#2
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On 22-Jan-12 18:39, Miles Bader wrote:
Stephen Sprunk writes: Here in many (if not all) parts of Europe, the price that you pay for something already has relevant taxes figured in. That way seems more logical. It's certainly more efficient. ... and in my experience it makes for a lot more peace-of-mind when shopping. Even though one _can_ just mentally add on the tax rate when looking at an item, Good luck with that, unless the item's price and tax rate together only have two or three significant digits. That's rare in my experience; for instance, I might see something priced at $39.95 with a tax rate of 8.25%, for a total of seven significant digits. While some people may be able to figure out the after-tax price in their heads, few would bother with the effort, and most can't do it at all. there's something really comforting about knowing that the price shown on the tag is actually the exact amount of money you'll have to fork over. Indeed. On my first trip overseas, that was one of the most welcome aspects of shopping: you know exactly what you're going to pay. This also encourages round-number pricing ($40 vs $39.95)--something that is pointless under a pre-tax pricing model. This is especially true for high-priced items (where the difference isn't trivial), but it's also is really nice for _low_ priced items, where you can actually look at the amount of money you have in your hand, and be completely sure you'll have enough... Yep, and I vaguely remember learning that lesson as a kid: a dollar can't buy things in a store priced $0.99. That's just plain stupid. [I suppose one reason U.S. retail businesses would vehemently object to a VAT or "more honest labelling" regulations, is that the "perceived price" of their goods would go up, even if the amount paid by customers stayed the same...] That's really only applies to one merchant doing it voluntarily; if they were all forced to do it, all posted prices would rise slightly and everyone would adjust with minimal complaint since the actual prices paid wouldn't change. A bigger problem is the variation in tax rates. When a merchant advertises a price of $10 today, they get $10 everywhere; if the tax were included, the net amount would vary between locations. With sales tax rates ranging from 0% to 12%, and many merchants' margins often being less than that, that would cause serious problems. S -- Stephen Sprunk "God does not play dice." --Albert Einstein CCIE #3723 "God is an inveterate gambler, and He throws the K5SSS dice at every possible opportunity." --Stephen Hawking |
#3
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In message , at 20:04:35 on Sun, 22 Jan
2012, Stephen Sprunk remarked: there's something really comforting about knowing that the price shown on the tag is actually the exact amount of money you'll have to fork over. Indeed. On my first trip overseas, that was one of the most welcome aspects of shopping: you know exactly what you're going to pay. This also encourages round-number pricing ($40 vs $39.95)--something that is pointless under a pre-tax pricing model. Burger King have a [USA] nation-wide offer of $1.99 at the moment. -- Roland Perry |
#4
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On 23-Jan-12 02:30, Roland Perry wrote:
In message , at 20:04:35 on Sun, 22 Jan 2012, Stephen Sprunk remarked: there's something really comforting about knowing that the price shown on the tag is actually the exact amount of money you'll have to fork over. Indeed. On my first trip overseas, that was one of the most welcome aspects of shopping: you know exactly what you're going to pay. This also encourages round-number pricing ($40 vs $39.95)--something that is pointless under a pre-tax pricing model. Burger King have a [USA] nation-wide offer of $1.99 at the moment. I fail to see the point you are making. S -- Stephen Sprunk "God does not play dice." --Albert Einstein CCIE #3723 "God is an inveterate gambler, and He throws the K5SSS dice at every possible opportunity." --Stephen Hawking |
#5
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In message , at 11:41:16 on Mon, 23 Jan
2012, Stephen Sprunk remarked: Burger King have a [USA] nation-wide offer of $1.99 at the moment. I fail to see the point you are making. It's $1.99 plus a variable amount of sales tax, not $1.99 including a variable amount of sales tax. -- Roland Perry |
#6
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On 23-Jan-12 14:38, Roland Perry wrote:
In message , at 11:41:16 on Mon, 23 Jan 2012, Stephen Sprunk remarked: Burger King have a [USA] nation-wide offer of $1.99 at the moment. I fail to see the point you are making. It's $1.99 plus a variable amount of sales tax, not $1.99 including a variable amount of sales tax. I still fail to see the point you are making. BK can advertise a nationwide price of $1.99 in large part _because_ that doesn't include the variable tax. To collect $1.99 for every burger (or whatever it is), they'd need to advertise different prices in different markets or even within the _same_ markets, depending on how granular the tax jurisdictions are. S -- Stephen Sprunk "God does not play dice." --Albert Einstein CCIE #3723 "God is an inveterate gambler, and He throws the K5SSS dice at every possible opportunity." --Stephen Hawking |
#7
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In message , at 15:10:59 on Mon, 23 Jan
2012, Stephen Sprunk remarked: Burger King have a [USA] nation-wide offer of $1.99 at the moment. I fail to see the point you are making. It's $1.99 plus a variable amount of sales tax, not $1.99 including a variable amount of sales tax. I still fail to see the point you are making. It's not a complex point. BK can advertise a nationwide price of $1.99 in large part _because_ that doesn't include the variable tax. Exactly. To collect $1.99 for every burger (or whatever it is), they'd need to advertise different prices in different markets or even within the _same_ markets, depending on how granular the tax jurisdictions are. I knew you'd get there eventually. -- Roland Perry |
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