Tipping Economics

5

Comments

Greg Mankiw observes that “Economists do not have a good theory of tipping.” King Banian contends this is untrue and then demonstrates that economists have many theories of tipping.

Whether any of them amounts to a good theory, however, I shall leave to the reader to decide.

5 responses to “Tipping Economics”

  1. Mankiw’s theory of tipping probably involves a pigouvian tax on the gasoline used by the waiters driving to work and writing a number of excuses for Bush’s horrible fiscal policies on the check.

  2. In a *real* science, having *many* theories means that you don’t have a *good* theory.

  3. I’m sorry could we get a list of those areas for which Economists *do* have good theories?

    I promise it won’t take long to compile.

  4. Do any of the economists involved have only one hand?