A prominent economist has defended the much-maligned secondary ticketing sector by claiming it only exists because in-demand tickets are too cheap.
Tracy C. Miller, a senior policy research editor with the Mercatus Center at George Mason University, wrote in US News & World Report opinion piece that legislation aimed at constraining the secondary market was doomed to fail because it simply filled the void between supply and demand.
Miller was writing in response to a public outcry in the US as the cost of $189 (£152/€170) seats for the Broadway musical ‘Hamilton’ rocketed up to $1,000.
“Laws to prevent scalping are unnecessary and prevent mutually beneficial transactions,” wrote Miller. “Scalping only occurs when original ticket sellers charge a price that’s lower than some consumers are willing to pay.
“If scalpers use software that’s efficient at buying and selling tickets, it will save time and effort and each party involved in the process benefits. In one way or another, the ticket producer, the scalper and the people who attend the event will each be better off.”
Miller also said that ultimately the market favoured the public by giving them access to an event at their time of choosing and at a price they are willing to pay.
“Scalping benefits the scalper and the buyer, by getting tickets to whomever values them most highly,” he wrote.
“If someone decides at the last minute to attend a play, a concert or a game, they can find tickets at some price. Without scalpers, some people who value the event highly would be unable to buy tickets for seats of the quality they desire.”
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