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Taylor Swift, Junk Fees, and the Happy Meal Fallacy

The Happy Meal Fallacy

President Biden says “We’re planning to make it mandatory for airlines to compensate travelers with meals, hotels, taxis, and cash, miles, or travel vouchers…

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President Biden says “We’re planning to make it mandatory for airlines to compensate travelers with meals, hotels, taxis, and cash, miles, or travel vouchers…

The Happy Meal Fallacy - Foundation for Economic Education

The Happy Meal Fallacy Monday, August 17, 2015 Some restaurants offer burgers without fries and a drink. These restaurants cater to low-income people who enjoy fries and drinks but can’t always afford them. To rectify this sad situation, a presidential candidate proposes the Happy Meal Act. Under the Act, burgers must be sold with fries and a drink. “Burgers by themselves are not a complete, nutritious meal,” the politician argues, concluding with the uplifting campaign slogan, “Everyone deserves a Happy Meal!” But will the Happy Meal Act make people happy?  If burgers must come with fries and a drink, restaurants will increase the price of a “burger.” Even though everyone likes fries and a drink they may not like the added benefits by as much as the increase in the price of the meal.

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