> I can confidently pick up an apple, walk to the register, and expect to pay a dollar.
This is true in most of the world, but not in the US, where you don't know what you're paying until you reach the checkout counter.
> I can confidently pick up an apple, walk to the register, and expect to pay a dollar.
This is true in most of the world, but not in the US, where you don't know what you're paying until you reach the checkout counter.
Fruit is sold by weight, not count, in China too.
In most of the world if a product's price tag says X then you pay exactly X at the register (e.g. £2 sandwich costs exactly £2 in cash, you hand then exactly £2 and leave).
In the US that is not the case. Almost everything has a "hidden fee." You go buy a $2 sandwich but pay $2 + 6% ($2.12), if you get food in a restaurant you pay $price + 15-20%, an advertised $30/month cell phone plan is actually $45 after "taxes and fees," and so on...
Within Europe/EU in particular these types of hidden fees are actively combatted. Just within the last few years a few airlines (e.g. Easyjet) got into trouble for charging both a credit card or debit card fee (approx. £3-5) which wasn't reasonably avoidable and wasn't mentioned in their adverts.
The US in general is rather consumer hostile on the grounds of "business freedom."
I have a two-part theory as to the advertising of prices exclusive of sales tax (which, again, doesn't apply to the apple example, for those HN readers who live in Silicon Valley); it goes like this:
1. Companies that sell products out of more than one store would like to use the same advertising everywhere, instead of making one ad per sales tax region they're present in.
2. This causes everyone to have to advertise prices the same way.
Actually, now I'm curious what the tax scheme was when you ordered something out of the Sears catalog.
Most of your examples have something going for them, but this one
> an advertised $30/month cell phone plan is actually $45 after "taxes and fees,"
is something I've never heard of. All of my US cell phone plans advertised the exact price they charged.
Like hell they are. Here's a 1:1 copy/paste from a recent AT&T bill (only modified for formatting, and <Local> for privacy reasons):
Surcharges & Fees
Administrative Fee $0.61
Computer Aided Dispatch Surcharge $0.06
Federal Universal Service Charge $0.82
Municipal License Surcharge $0.59
Regulatory Cost Recovery Charge $0.66
Relay Service Device Fund Surcharge $0.02
<Local> Universal Service $0.10
Total Surcharges & Fees $2.86
And: Government Fees & Taxes
City District Sales Tax - Telecom $0.08
City Sales Tax - Telecom $0.18
County Sales Tax - Telecom $0.05
Local Wireless 911 Surcharge $0.61
<Local> State Sales Tax - Telecom $0.81
Unified Statewide 911 Charge $0.09
Total Government Fees & Taxes $1.82
These are charged on top of their headline rates. Some of these are federal fees so aren't likely avoidable no matter where you happen to live.In some states, there is sales tax. In others, none. Sales tax may or may not be applied to clothing depending on state. Sales tax may or may not be applied to food, or only some kinds of food (e.g., alcohol always taxed), or only to food above a certain threshold.
All in all there's nothing hidden about sales tax. It shouldn't be a surprise that people are expected to know how the sales tax system in their state works when they are interacting with it every day.
There's nothing else to say on that topic. I won't further debate what is or is not a "hidden fee." That's my definition, if it isn't in the headline price and is unavoidable then it is a hidden fee.
But that's the same thing! If people don't know or understand the rules, the fee is hidden to them. You could say that people have should educate themselves, and my reply would be that there's infinite amount of complexity that could be added to the pricing if needed: "Oh, on cloudy Wednesdays, when Jupiter shines and the Yen is down.. it's 2$ extra"
A basket of 10 random goods in a grocery store may have wildly different taxes applicable to them.. there are sales taxes, sin taxes (on tobacco, alcohol, etc), and others. These aren't listed on the price tag, so are essentially hidden.
Here in Fiji, I walk into a grocery store with $100 and can arrive at the checkout counter knowing I have $98 worth of goods and can expect $2 change for my bus fare home. I don't even have to know how to multiply numbers to figure this out... simple addition gets me there.