The Psychology of Tipping

When we get into the psychology of tipping, the answer is right in front of us. I mean, for example, used to work in this music store and the owners had this pretty shady practice of marking all of the instruments that were for sale with what's called the list price. That is absolutely a horrible thing to do because they could get it for a good percentage cheaper anywhere else. It also gives them this wiggle room and this illusion of discount where they can be like, oh, no, I can't. We'll make you a special price on that.