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Not the situation we are talking about but even in that situation a government control on the price of the concert tickets could easily create a shortage. An e
by gwright 7y ago
Not the situation we are talking about but even in that situation a government control on the price of the concert tickets could easily create a shortage. An entertainer would just choose to have concerts in a different jurisdiction that didn't limit the prices leading to 0 seats in the location with price controls.
- jiofih 7y agoThe entertainer makes zero money on the added price of tickets from trading dynamics we are talking about, it’s all middlemen.
- gwright 7y agoDoesn't change the analysis re: supply and demand. Just changes to a discussion of the middlemen as a supplier.
- jiofih 7y agoIt invalidates what you mentioned re. the entertainer avoiding a certain location due to price control. And btw, price control in this case means “no resale above ticket price” or something similar, not the government controlling the pricing itself. The supply is fixed so there can’t be a shortage (except when it’s caused by price gouging performed by middlemen).