As of 2012 the dollar amount of food coupons redeemed returned to pre-recession levels. At the height of the recession $500 to $600 million dollars more were redeemed.
The use of coupons by stores and manufacturers is an example of 3rd Degree Price Discrimination by producers that have some pricing power. It is a way to capture "Consumer Surplus" by segmenting consumers based on their willingness to pay. Some people (like me) dislike using coupons so I end up paying more for a particular good than someone who is willing to take the time to cut-out, save, and bring to the store the coupons. The store captures a sale from the coupon-er that they might not have received before.
I suppose I subsidize people that do the coupon thing....Your welcome...
Well, anyway, seems like in terms of the use of coupons we are back to normal. Wonder what this says about the economy. Any suggestions?
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