Anchoring Health Care Pricing (See Previous Post)

Hospitals have charge master pricing. Pharmaceutical manufacturers have AWP pricing. Consumers pay neither. These are simply made up numbers from which sellers “discount” their wares/services.

Car dealers call it sticker pricing. They peg prices high enough so they can get your trade-in for free and make a profit too.

Whether it’s the purchase of  health care, pharmacy drugs or new and used vehicles, the scheme is the same. The seller gets something for nothing and earns a nice profit. Buyers consistently make it happen.