Monday, August 19, 2013

5. The Price Is Racist: When Minorities (and Women) Are Asked to Pay More

Derek Thompson, senior editor at The Atlantic, writes about the prejudice towards minorities and women in the car and auto-repair market. At the start, he presents the first rule of prices, that nobody knows anything. He explains that this rule causes merchants to be bias towards their client and clients to be subject to merchants’ tricks. Dealers can charge different prices based on prejudice towards gender or ethnicity. Thompson comments on a study that shows how women are offered higher prices than men, when they do not name a price first. This happens, because merchants do not know anything about their customer and assume that women are less informed about prices. On the other hand, if either men or women do name a price, they both are offered around the same, because now merchants know that the client is informed. Thompson also comments about another study that shows that the same biased judgment against women occurs with black people, along with the same reason. The author observes the gender study and notes that presenting a price, while demonstrating knowledge of the market, is a possible solution for these biased judgments.


The author is effective in his writing. He uses an informal tone, since his article is not directed to researchers, but to an audience of common adults. The terminology used is not overly complicated and understandable by the majority of the population. Thompson also demonstrates compassion towards the reader by using the pronoun “us” when referring to those deceived by merchants, because he is, just like the reader, affected. Throughout the article, to back up his information, he utilizes research and studies and provides its links. In the beginning, Thompson also adds in a few interesting comments, which fulfills the job of the attention-getter. The only downside might be that at least once the author seems to drift off and comment something irrelevant. Despite this, Thompson does a good job in informing about the issue in the article and warning his audience of the danger. 

http://www.theatlantic.com/business/archive/2013/06/the-price-is-racist-when-minorities-and-women-are-asked-to-pay-more/277174/

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