The Economics of Queues and Waiting
The Value of Time
People place different values on their time, and that explains why some pay to skip lines and others wait.
Not everyone’s hour is worth the same.
Opportunity cost
An hour in a queue is an hour not spent working, studying or resting.
Differences
Busy professionals often value time more than those with flexible schedules.
Paying to skip
Fast-track tickets, premium check-in and express delivery are ways to buy time.
Ethics
Selling priority raises questions about equality.
An airport lane
A traveller pays extra for a priority security lane to save half an hour.
Assuming everyone should wait equally
Values of time differ.
Key takeaways
- Time has an opportunity cost.
- Values of time differ.
- Priority can be bought.
- Equity questions arise.
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