>Theater owners often price tickets such that the "vacancy" rates (empty seats) are quite high. However, a law that required pricing tickets low enough to fill

>Theater owners often price tickets such that the "vacancy" rates (empty seats) are quite high. However, a law that required pricing tickets low enough to fill all seats would reduce the return on equity in the industry so much that investment in the theater industry would plummet, vastly reducing the number of theater seats available available to fill consumer demand in the medium to long term. This sounds like a nonsensical economic argument. Do you have a mathematical model that supports this argument?