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Creating artificial shortage and than charging overprices is not a normal free market process. Businesses should create added value, then they can charge a pric

by usr1106 11mo ago

Creating artificial shortage and than charging overprices is not a normal free market process. Businesses should create added value, then they can charge a price for it. Actors that misuse or unfairly dominate free markets will trigger regulation, that's the way it has always been. Some regulators are weak, so we still have endure cancers like Google and Microsoft.

lotsofpulp 11mo ago
There is no artificial shortage, there is an inherent shortage. Sufficiently popular entertainers such that a ticket price arbitrage opportunity exists must be, by definition, in short supply. There exist only so many performance days in an entertainer’s lifetime. And, obviously, venues have capacity limits.
- usr1106 11mo ago
  So what is the added value created by those resellers to address the inherent shortage?
  - haneefmubarak 11mo ago
    In theory they provide market liquidity such that for anyone who REALLY wants to go, at any time prior to and potentially even during the event, there remain some options available for purchase; as opposed to basically spinning the lottery on whether you get to go or not, especially for oversubscribed events.
hypeatei 11mo ago
Hmm, it seems like we've forgotten that we can vote with our wallet. If this practice wasn't desired because it raised prices too much or some other reason, then people wouldn't give the resellers their money.
- RHSeeger 11mo ago
  This assumes the only dynamics are "the seller wants to make as much as possible" and "the buyer wants to spend as little as possible". There are plenty of cases where the seller (artist, venue, etc) want to keep prices low to allow a wider audience to attend the show.
  - WalterBright 11mo ago
    > There are plenty of cases where the seller (artist, venue, etc) want to keep prices low to allow a wider audience to attend the show. There are only so many seats in a venue. Suppose there are 1000 seats and 5000 people want tickets. What's your plan on how to allocate them?
    - RHSeeger 11mo ago
      First come first serve, or a lottery, or any number of other algorithms. The point being "the people with the most money" isn't the algorithm that everyone wants.
      - card_zero 11mo ago
        The idea is that if venues can sell tickets at higher prices, to the rich or silly (via resellers or not), you get more venues and more acts, even at the low end where tickets are cheap, because it's bigger business.
      - WalterBright 11mo ago
        Nobody wants an algorithm that leaves them without a ticket, and that includes your proposals. > the people with the most money That's not the algorithm employed. The algorithm is "the people who are willing to outbid the others". That is quite different. Besides, with a lottery you won't know if you got the ticket until the last minute. How are you going to make plans with your sweetie, then? Or are traveling from out of town?
        11mo ago

by usr1106 11mo ago

lotsofpulp 11mo ago

There is no artificial shortage, there is an inherent shortage. Sufficiently popular entertainers such that a ticket price arbitrage opportunity exists must be, by definition, in short supply. There exist only so many performance days in an entertainer’s lifetime. And, obviously, venues have capacity limits.

usr1106 11mo ago
So what is the added value created by those resellers to address the inherent shortage?
- haneefmubarak 11mo ago
  In theory they provide market liquidity such that for anyone who REALLY wants to go, at any time prior to and potentially even during the event, there remain some options available for purchase; as opposed to basically spinning the lottery on whether you get to go or not, especially for oversubscribed events.

hypeatei 11mo ago

Hmm, it seems like we've forgotten that we can vote with our wallet. If this practice wasn't desired because it raised prices too much or some other reason, then people wouldn't give the resellers their money.

RHSeeger 11mo ago
This assumes the only dynamics are "the seller wants to make as much as possible" and "the buyer wants to spend as little as possible". There are plenty of cases where the seller (artist, venue, etc) want to keep prices low to allow a wider audience to attend the show.
- WalterBright 11mo ago
  > There are plenty of cases where the seller (artist, venue, etc) want to keep prices low to allow a wider audience to attend the show. There are only so many seats in a venue. Suppose there are 1000 seats and 5000 people want tickets. What's your plan on how to allocate them?
  - RHSeeger 11mo ago
    First come first serve, or a lottery, or any number of other algorithms. The point being "the people with the most money" isn't the algorithm that everyone wants.
    - card_zero 11mo ago
      The idea is that if venues can sell tickets at higher prices, to the rich or silly (via resellers or not), you get more venues and more acts, even at the low end where tickets are cheap, because it's bigger business.
    - WalterBright 11mo ago
      Nobody wants an algorithm that leaves them without a ticket, and that includes your proposals. > the people with the most money That's not the algorithm employed. The algorithm is "the people who are willing to outbid the others". That is quite different. Besides, with a lottery you won't know if you got the ticket until the last minute. How are you going to make plans with your sweetie, then? Or are traveling from out of town?
      - 11mo ago