Abstract
This paper reviews the evidence and evaluates the claim that the hairdressing industry systematically discriminates on the basis of gender and compares the way in which courts in the UK and US have dealt with such allegations. We argue that "transaction costs" can be used to provide an alternative (perhaps more satisfactory) explanation for the pricing patterns observed than does price discrimination. Any decision to ban gender-based pricing will imply a difficult trade-off between economic efficiency and concerns for gender equality.
Similar content being viewed by others
REFERENCES
Ayres, L., & Siegelman, P. (1995). Race and gender discrimination in bargaining for a new car. American Economic Review, 85, 304-321.
Central Statistical Office (1995). A report on the 1994-95 Family Expenditure Survey. London: H.M.S.O.
Dubashi, J (1994). Myron's makeovers. Financial World, 163(9), 48-49.
Finegan, J. (1991). The cutting edge: Anatomy of a start-up. Inc, 13(11), 112-123.
Garrett. E. M. (1993). How to avoid a scalping at the hair salon or barbershop. Money, 22(8), 16-17.
Green, M., & Seitz, W. (1996). Women pay more-Is it fair? Daily News, August 4.
Gypped by gender: A study of price bias against women in the marketplace (1992). City of New York: Department of Consumer Affairs.
Handcock, C. (1996a). Facing facts: More results from the Hairdressing Employers' Associations' latest survey. Your Salon, October, pp. 12-14.
Handcock, C. (1996b). On the job: More results from the Hairdressing Employers' Associations' latest survey. Your Salon, November, pp. 12-14.
Handcock, C. (1996c). Hair on the move: More results from the Hairdressing Employers' Associations' latest survey. Your Salon, December 1996/January 1997, pp. 12-14.
H.T.B. (1996). Qualifications in hairdressing: From trainee to manager. Doncaster: Hairdressing Training Board.
Letts, Q. (1996). New York at equality's cutting edge. The Times, 17 July, p. 13.
London and the rest (1998). The Economist, 1-7 August, p. 25.
Lott, J. R., Jr., & Roberts, R. D. (1991). A guide to pitfalls of identifying price discrimination. Economic Inquiry, 29, 14-23.
McGrath, D. (1984). Franchise facts-No frills hair salons. Venture, 6(4), 147.
Pigou. A. C. (1920). The economics of welfare. 4th ed. London: Macmillan.
Poe, R. (1988). Two chains are better than one. Venture, 10(4), 70-72.
Posner, R. (1976). The Robinson-Patman Act: Federal regulation of price differences.Washington, DC: American Enterprise Institute.
The price is not right: Gender-based price discrimination in the New York City haircutting, clothing alteration, and dry cleaning industries (1996). A staff report to the Committee on Consumer Affairs, September 27. New York: New York City Council.
Rock, S. (1988). Hairdressing's new wave business style. Director, 41(6), 73-74.
Tirole, J. (1989). The theory of industrial organization. Cambridge, MA: MIT Press.
Van Ours, J. C. (1991). Self-service activities and formal or informal market services. Applied Economics, 23, 505-515.
Varian, H. R. (1985). Price discrimination and social welfare. American Economic Review, 75, 870-875.
Varian, H. R. (1992). Price discrimination. In: R. Schmalensee & R. D. Willig (Eds.), The handbook of industrial organization, pp. 597-654. Amsterdam: North Holland.
Varian, H.R. (1992). Microceconomic analysis. 3rd ed. London: Norton.
Whitlesey, F. C. (1996). Levelling the price field. Nations Business, 84(5), 64-65.
Author information
Authors and Affiliations
Rights and permissions
About this article
Cite this article
Liston-Heyes, C., Neokleous, E. Gender-Based Pricing in the Hairdressing Industry. Journal of Consumer Policy 23, 107–126 (2000). https://doi.org/10.1023/A:1006492207450
Issue Date:
DOI: https://doi.org/10.1023/A:1006492207450