Friday, July 12, 2013

How Not to Get Taken by a Mechanic

It probably didn’t take a detailed research study to figure this out, but a paper just out from the National Bureau of Economic Research has found that you’re far more likely to get taken by an auto mechanic if you’re a woman. The economists called 2,778 repair shops and asked how much it would cost to replace a radiator in a six-cylinder 2003 Toyota Camry LE. When the caller followed a script that said they had no idea how much such a thing would run, the female callers tended to get significantly higher estimates than the men.

But there was one interesting sidelight: When the men and women placing the call were instructed to act well-informed, and cited a specific, realistic price for the radiator, the gender difference disappeared. The lesson for drivers of either sex: Do your homework and know what the going rate is before you call the mechanic.


One other point worth noting: The researchers found that haggling really works, for men and women both. On average, the repair shops ended up reducing the price by 13 percent for customers who tried to talk them down.

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