--%>
Assignment Help - homework help

Discuss the economic aspects of ticket scalping

Discuss the economic aspects of ticket scalping also identifying the gainers and losers?

E

Expert

Verified

Ticket scalping occurs in situations in which the original ticket price is set below the equilibrium price. This means that holders of tickets can find buyers who are willing to pay a higher price than that printed on the ticket. Basically, there is a shortage or the quantity demanded exceeds the quantity supplied at the original price. Various ticket holders are willing to part with their tickets by selling them at a higher price than the price they paid, and some buyers are willing to pay this higher price.  In some another words, both the buyers and sellers voluntarily enter into the “scalping” transaction because both expect for profits.  The buyers value the tickets more than the money and the sellers value the money more than the tickets. In this case only losers would be the sponsors of the event, who could have charged higher prices for the tickets originally.  However, they don’t lose because of the scalping, but because they originally priced the tickets below equilibrium.

   Related Questions in Business Economics

  • Q : Cooperative and non-cooperative outcome

    Question: Cineplex and AMC are two rival movie theatre chains. They must each decide whether to set an admission price of $10 or set an admission price of $12; of course, the number of movie goers (and thus their r

    		•
  • Q : Market structure and pricing decision

    Just need help to see if I am in the right direction if there any think wrong need help with it.

    		•
  • Q : Local expenditures and receipts for all

    Elucidate the Local expenditures and receipts for all local governmental units in 1996?

    		•
  • Q : Government Pegged Currencies Question:

    Question: If a government pegs the value of its currency to another currency, the government must stand ready to i. _________________________ the "hard" currency to defend the pegged value of its own currency. ii.

    		•
  • Q : Factors of account since the Second

    For rapid growth of world trade what are the factors of account since the Second World War?

    		•
  • Q : Illustrate the advantage and

    Illustrate the advantage and disadvantage of Partnership?

    		•
  • Q : Explain how an increase in state

    Use two market diagrams to explain how an increase in state subsidies to public colleges might affect tuition and enrollments in both public and private colleges.

    		•
  • Q : Rivalry for various types of resources

    Intermediaries ultimately prosper only when they give a service of decreasing: (1) demand for a good (2) prices paid to manufacturers of a good. (3) transaction costs. (4) rivalry for various types of resources. (5) cut-throat competition into markets

    		•
  • Q : Individuals self-interests and broader

    A natural harmony among individuals serving their own self-interests and the broader interests of society was the main theme of the theories of __________, although this concept was not accepted through _________. Determine the correct answer from given options: (w) K

    		•
  • Q : Need urgent help need urgent help in

    need urgent help in business economics, please suggest

    		•