On the social media website formerly known as Twitter, a user posted a receipt for $24 for a hamburger, fries, and drink at a Five Guys restaurant. One user responded by saying that five dollars for a small order of fries is “highway robbery.”
While users debated whether Five Guys was overcharging, nobody seemed interested in considering the full context. For example, if one engages in a voluntary economic transaction, it isn’t robbery. Robbery occurs when one’s property is taken by force.
No business, including Five Guys, can force an individual to purchase its products or services. If an individual does not like the price that is requested, he is free to negotiate a more desirable price or take his business elsewhere. An individual has a choice in the matter. He can choose to exchange value for value or not.
A robber gives his victim no choice. A robber seizes his victim’s property and offers no value in return.
We may not like the price that a business charges. However, even if that price is outrageously high, we remain free to engage in trade or not.
As another example of dropping context, the users expressing outrage at Five Guys conveniently ignore the fact that increases in the minimum wage are a contributing factor to rising costs for fast food. If a restaurant owner must pay someone $20 an hour to flip hamburgers, that cost is going to be reflected in the price for the hamburger. But the cost of doing business is not a concern of the complainers.
Indeed, one commentor wrote that fries are “literally just a potato and some salt. Cost them a quarter to make.” While this claim might seem plausible, it ignores the other costs associated with making an order of fries, such as a deep fryer, oil for the fryer, and the energy to power it. The claim also ignores overhead costs like rent and insurance.
If one truly wants to evaluate the prices charged by Five Guys (or any business), then one must consider the full context. One must consider all of the relevant facts that contribute to those prices. Claiming that Five Guys is engaged in highway robbery while dropping context is not only incorrect, it is intellectually dishonest.