Title

Are Prices Higher For the Poor in New York City?

Author(s)

Lashawn Richburg Hayes Lashawn Hayes (Princeton University)

Abstract

Despite earlier evidence to the contrary, recent inquiries appear to reach a consensus that the poor pay more for food. However, these studies utilize samples drawn on the basis of prior knowledge of unfair pricing strategies, proximity of volunteer surveyors, or other non-random methods. This paper revisits the issue of price discrimination by analyzing price data collected using a stratified, random sample design to answer the question of whether prices are higher in poor, urban neighborhoods. Contrary to the recent literature, I find that market prices in poor neighborhoods are not higher than those in more affluent areas.

Creation Date

1999-09

Section URL ID

IRS

Paper Number

423

URL

https://dataspace.princeton.edu/bitstream/88435/dsp01rr171x21p/1/423revised.pdf

File Function

Jel

N84, N85, N86

Keyword(s)

imperfect competition, price differential, supermarket, urban poor

Suppress

false

Series

1