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The value here is entry to an event. The scalper does not create this value. Their service degrades this value in the form of a higher cost. The end user pays t
by castis 9y ago
The value here is entry to an event. The scalper does not create this value. Their service degrades this value in the form of a higher cost. The end user pays this because there are usually no other options. It's greedy reselling.
- maxerickson 9y agoThe value the scalper provides can still be analogous to transporting some goods across a distance. They act as a middleman that changes the availability of the thing they sell. I'm not arguing in favor of scalping, I'm just saying that the good arguments against are about fairness, they aren't economic. For instance, there is always the option of not attending a concert. This is not the same things as "no other options".
- castis 9y ago> The value the scalper provides can still be analogous to transporting some goods across a distance Sure, can be, but isn't. More often than not, it's moving the point of sale from one website to another with an absurd markup. If it's a scalper on the sidewalk selling tickets to a sold out show, then yes, they've physically moved the asset but created no more value to either the venue or the end user, only to themselves, so we're still talking about greed. > For instance, there is always the option of not attending a concert. This is not the same things as "no other options". The end user not going to the concert because of the ticket price means that the scalper has imposed that choice on the user.
- maxerickson 9y agoYou've missed my meaning. I said analogous, not literally the same. The scalper changes availability of tickets from favoring time/chance to favoring willingness to pay more. It's also a bit much to talk about the scalper imposing anything on end users. If everyone got together and stopped buying scalped tickets, there wouldn't be any ticket scalping anymore. Except that won't work because there are plenty of people that care less about money and ticket scalping than they care about attending concerts.
- castis 9y agoJust because the end user doesn't mind paying higher, doesn't mean a higher price has not been imposed on them.
- zzalpha 9y agoIt's not imposed. Look, a scalper wouldn't command the prices they did if the demand wasn't there. In reality, whether we like it or not, the scalper is actually facilitating price discovery. It's very clear that these tickets are worth more to people than their face value, as otherwise the scalpers would be unsuccessful. All the scalper is doing is raising the price to what the market will bear. Which is why this isn't about economics. It really is strictly about fairness, which is entirely orthogonal.
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- castis 9y agoLook, it's fine with me that you don't understand the concept of imposition. I'm not talking about fairness or economics, I'm talking about greed, and how a person inserts themselves into a process solely because they want money. A middleman who adds no additional value to anyone but themselves.
- saosebastiao 9y agoThe fallacy in your thought process is that you can't imagine how the world changes if the scalpers disappear. Today's reality: A guy discovers a band he likes is playing in town in 10 days, hops on to stubhub, and buys a ticket at 300% markup. Your fantasy world where scalpers magically disappear: A guy discovers a band he likes is playing in town in 10 days, hops on to Ticketmaster and buys a ticket at msrp. Actual reality if scalpers magically disappeared and prices stayed the same: A guy finds out a band he likes is playing in town in ten days and tries to buy a ticket, but he finds out that the entire concert sold out 5 months ago and he is just shit out of luck. You may believe that a scalper holding a ticket hostage for a higher price adds no value, but the mere fact that you buy from them at all is a testament to the value they created: they held on to a ticket that you were too fucking slow to buy, and kept it out of reach to all the people who were poorer than you, and did so long enough for you to realize that the concert existed and you wanted to buy a ticket to it. And you begrudgingly admitted that that value was worth the markup you paid the minute you consented to buying it.
- saosebastiao 9y agoAnd at the price the artist set, more people want to get into the event than can be accommodated. Couldn't we also say that those that buy scalped tickets are greedy? Because they are willing to use their wealth to outbid those that are less wealthy in order to partake in a scarce cultural experience?
- castis 9y ago> Couldn't we also say that those that buy scalped tickets are greedy? No, they were most likely going regardless of the ticket price, they are just less deterred by it.
- saosebastiao 9y agoTheir purchase of the ticket and subsequent attendance literally means that someone else couldn't attend. They, by virtue of wealth, took that experience from someone else.
- castis 9y agoNot sure if you missed the entire rest of the thread, but we're talking about the scalpers. The event attendee in your scenario would have gone with or without the scalpers existence.
- saosebastiao 9y agoThe same number of attendees would have attended. Whether they would be the same attendees is entirely disputed. They absolutely would be different. The person who could afford a ticket at face value and no more cannot attend because greedier people were willing to pay more to displace them.
- castis 9y agoWatching you try and justify greedy behavior is almost as impressive as it is pathetic.