There are a few of those progressive "pay what you want" styled restaurants in Toronto, Canada.
But when it comes down to it... they're actually $12/meal minimum throughout the week, and on wednesdays (most B&M business' slowest day in north america at least) they offer something like 50 meals which are "pay what you want" and once they're out of food, they're out.
In other words, "pay what you want" restaurants don't technically exist. Not in the long run. They're more of a marketing gimmick if you ask me.
But when it comes down to it... they're actually $12/meal minimum throughout the week, and on wednesdays (most B&M business' slowest day in north america at least) they offer something like 50 meals which are "pay what you want" and once they're out of food, they're out.
In other words, "pay what you want" restaurants don't technically exist. Not in the long run. They're more of a marketing gimmick if you ask me.
The free rider problem is a very real thing: http://en.wikipedia.org/wiki/Free_rider_problem