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Ethics and Tuition Price Discrimination: A Classroom Game

Author

Listed:
  • James Staveley‐O'Carroll
  • Deepak Joglekar

Abstract

We describe a game in which teams of students compete to get the most hypothetical prospective students to attend their college. This provides an opportunity to both teach students how price discrimination functions and to discuss the ethics of this pricing strategy in higher education. Teams are provided with data on each prospective student's household wealth and whether the student is domestic or foreign. In the first two rounds, teams must charge all students the same tuition. The team with the highest number of enrolled students, while maintaining nonnegative profit, wins. In the third and fourth rounds, teams can charge a premium to foreign students, and in the fifth and sixth rounds, teams can set tuition as a percent of a student's household wealth.

Suggested Citation

  • James Staveley‐O'Carroll & Deepak Joglekar, 2025. "Ethics and Tuition Price Discrimination: A Classroom Game," Southern Economic Journal, John Wiley & Sons, vol. 92(2), pages 628-636, October.
    • Handle: RePEc:wly:soecon:v:92:y:2025:i:2:p:628-636
    DOI: 10.1002/soej.12784
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    References listed on IDEAS

    as
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    5. Kathleen Carroll & Dennis Coates, 2001. "Issues in Price Discrimination: Reply," Southern Economic Journal, John Wiley & Sons, vol. 68(1), pages 187-189, July.
    6. Kathleen Carroll & Dennis Coates, 1999. "Teaching Price Discrimination: Some Clarification," Southern Economic Journal, Southern Economic Association, vol. 66(2), pages 466-480, October.
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