Waiting For A Table

Felix Salmon wonders why some restaurants don't take reservations:

In theory, a no-reservations policy creates, in economic terms, a huge price hike for the restaurant's customers: The cost of their wasted time and increased inconvenience has to be added to the amount at the bottom of the check. Such a policy should therefore result in less business for the eatery in question. In practice, however, things seem to work the other way: The more that a restaurant makes its customers wait, the more popular it becomes.

If we're not talking about luxury Veblen goods here and, clearly, we aren't then what explains this phenomenon?

Part of his answer: "once you've waited an hour and half just to be seated in a restaurant, you're going to be more excited to eat its food".

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