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Document Type

Article

Abstract

Ticket scalpers exist because ticket prices in the primary market are often set below the market equilibrium price. The question is why are prices consistently set too low? One theory says that the desire to sell complementary goods such as concert memorabilia explains why ticket price are set below equilibrium. Technological improvements, however, have rendered that theory obsolete. Economic theory still does not explain why ticket prices are frequently set too low. Perhaps the reason is simply that artists do not want to gouge their fans.

Publication Date

Spring 2020

Journal Title

Major Themes in Economics

Volume

22

Issue

1

First Page

55

Last Page

61

Copyright

©2020 by Major Themes in Economics

Language

en

File Format

application/pdf

Included in

Economics Commons

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