FTC lays out new rule that could end hidden fees | The agency is proposing a new rule that could require businesses, from hotels to ticket sellers, to provide clear disclosures on costs and whether…::The US Federal Trade Commission is proposing a new rule known as the Trade Regulation Rule on Unfair or Deceptive Fees that it hopes will stop businesses from charging consumers hidden fees.

  • eric@lemmy.world
    link
    fedilink
    English
    arrow-up
    3
    ·
    edit-2
    1 year ago

    Why would the oil lobby want tax to be included gasoline? The added transparency only raises the sticker price which reduces sales.

    • uis@lemmy.world
      link
      fedilink
      English
      arrow-up
      2
      ·
      1 year ago

      The added transparency only increases sales because people will buy cars knowing that listed price is what they are going to pay for gasoline.

      • eric@lemmy.world
        link
        fedilink
        English
        arrow-up
        4
        ·
        1 year ago

        It seems quite the stretch to think people would buy more cars because tax is included in the price of gasoline. Please provide some data that substantiates your theory.

        • uis@lemmy.world
          link
          fedilink
          English
          arrow-up
          1
          ·
          1 year ago

          It seems quite the stretch to think people would buy more cars because tax is included in the price of gasoline.

          In what shop would you go? In one that charges listed price or one that charges more?

          • eric@lemmy.world
            link
            fedilink
            English
            arrow-up
            5
            ·
            1 year ago

            Most people would go to the one with the cheaper posted price but with hidden fees than the one with the more expensive all inclusive price. Market data shows this tactic works, and the fact of the matter is that people are consistently fooled into paying higher prices because of hidden fees.

            Why else would most companies consistently hide fees rather than be transparent unless it positively affects their bottom line?