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Why Don't You Two Get a Room? A Puzzle and Pricing Model of Extra Services in Hotels

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  • Damianov Damian S.

    (University of Texas - Pan American)

  • Sanders Shane D.

    (Western Illinois University)

Abstract

This case study focuses on the following �rational riddle� raised in a recent popular economics book: Hotels in Britain usually charge per guest while hotels in the US typically charge per room. What is the reason for this difference? We propose a pricing model for extra services which points to one possible explanation.

Suggested Citation

  • Damianov Damian S. & Sanders Shane D., 2012. "Why Don't You Two Get a Room? A Puzzle and Pricing Model of Extra Services in Hotels," Journal of Industrial Organization Education, De Gruyter, vol. 6(1), pages 1-7, December.
  • Handle: RePEc:bpj:jioedu:v:6:y:2012:i:1:p:1-7:n:1
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