Daryl Fairweather

Yeah, I think a famous one is rideshare apps.

How, I mean, it used to be that you would just call a cab and the price you would pay was just whatever was on the meter.

And then economists got the idea to have dynamic pricing that was set by whatever demand was in that moment and supply was in that moment.

And a lot of people don't like that because it feels a little bit unfair.

And now it's moving even into grocery stores, this dynamic pricing.

I know there's a lot of pushback towards that as well.

Yeah, this is even true on Amazon.

I was tracking the price of my book and my book is now cheaper than it was.

a couple of weeks ago so you can get a deal because of that dynamic pricing.

Yeah, exactly.

Yes, yes.

That demand, if there is more demand, that should in theory push up price because if it doesn't, what you can have are shortages, right?

And shortages are worse than paying more because then there are people who might be willing to pay a higher price who just don't get the option to.

But I think there's, I feel like there's kind of a backlash to that now.

Like sometimes people prefer things to be allocated based on a wait list because it feels more fair even if it is more inefficient because it's not just going to the richest people.

So this is where my behavioral economist brain starts working and I feel like there has to be some at least nuance and when is surge pricing a bit grotesque.

Yeah, I agree.

I mean, willingness to pay would only allocate it to people who have the highest willingness to pay.

But maybe willingness to not moan is another way to allocate it.

In the last five years, there's been a lot of movement to eliminate single-family zoning, which is this idea that you can only build one house on one plot of land in a neighborhood.