Saturday, May 09, 2015

Want To Do Something About Income Inequality? Start Tipping More.

I've said many times that I despise the custom of tipping. It's a misguided, arbitrary, and capricious economic distortion in the industries it touches. And I welcome the signs of its entrenchment starting to crack loose. But given that it is what it is for now, I wholeheartedly endorse the recommendation of this article. I'm in.

Money quote: "Would more generous tipping really have an impact on the incomes of the working poor? Yes: If everyone in the top 20 percent of the income distribution (those with family income over $121,000) upped their tips by an average of only 65 cents per day, an extra $11.6 billion annually would end up in the pockets of the working poor and middle-class."

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