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by lotsofpulp 532 days ago
This is broadly called price discrimination.

https://en.wikipedia.org/wiki/Price_discrimination

It is basic microeconomics that a seller wants to be able to get as high of a price as buyers are willing to pay, but since different buyers have different abilities and willingnesses to pay, a seller can maximize their revenue by providing options at different price points.

Especially with societal wealth gaps, the people able and willing to pay higher prices are going to be able to pay higher price premiums, resulting in higher profit margins.

1 comments

Right, and a sibling comment already pointed that out, I just wanted to expand on the topic with examples.