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Megan McArdle

Megan McArdle - Megan McArdle is a senior editor for The Atlantic who writes about business and economics. She has worked at three start-ups, a consulting firm, an investment bank, a disaster recovery firm at Ground Zero, and The Economist. She is currently on leave.
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Megan was born and raised on the Upper West Side of Manhattan, and yes, she does enjoy her lattes, as well as the occasional extra-dry skim-milk cappuccino. Her checkered work history includes three start-ups, four years as a technology project manager for a boutique consulting firm, a summer as an associate at an investment bank, and a year spent as sort of an executive copy girl for one of the disaster-recovery firms at Ground Zero � all before the age of 30.

While working at Ground Zero, Megan started Live From the WTC, a blog focused on economics, business, and cooking. She may or may not have been the first major economics blogger, depending on whether we are allowed to throw outlying variables such as Brad Delong out of the set. From there it was but a few steps down the slippery slope to freelance journalism. She has worked in various capacities for The Economist, where she wrote about economics and oversaw the founding of Free Exchange, the magazine's economics blog. She has also maintained her own blog, Asymmetrical Information, which moved to The Atlantic, along with its owner, in August 2007.

Megan holds a bachelor's degree in English literature from the University of Pennsylvania and an M.B.A. from the University of Chicago. After a lifetime as a New Yorker, she now resides in northwest Washington, D.C., where she is still trying to figure out what one does with an apartment larger than 400 square feet.

Let's Abolish Tipping

By Megan McArdle
Jun 16 2010, 9:00 AM ET Comment

[Courtney Knapp]

We know a lot about tipping. There are have been dozens of papers on the topic, academics who specialize in understanding the social norms, and little known accounts of its origins:

Tipping didn't take hold here until after the Civil War, and even as it spread it met with fervent public opposition from people who considered it a toxic vestige of Old World patronage. Anti-tipping associations were formed; newspapers--including the Times--regularly denounced the custom. Tipping, the activists held, fostered a masterservant relationship that was ill suited to a nation in which people were meant to be social equals. William R. Scott, in his 1916 polemic "The Itching Palm," described the tip as the price that "one American is willing to pay to induce another American to acknowledge inferiority"; Gunton's Magazine labelled the custom "offensively un-American," arguing that workers here should seek honest wages "instead of fawning for favors." The anti-tipping campaigns were so effective that six states actually banned the practice.

Though tipping may help make bars, restaurants, and coffee shops more interesting, there is little evidence that tips are related to objective measurements of quality service. I would like to see America move toward a standard service fee at restaurants and bars, abolishing the tip.

There are flaws with the service charge system. It could price out some diners, reduce what generous tippers give servers, and force restaurants into trial and error as they figure out the right fee. Perhaps that's why service charges haven't gained much traction outside a few high-end restaurants.

Before I move onto the complicated etiquette of tipping, I'm curious: would readers prefer the status quo of tipping, a fixed service charges, or menus that reflect an all-inclusive price? Are you ever confused about how much to tip? Leave your thoughts in the comments or drop me an email at 'MSCourt AT Gmail dot COM'


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