US-based economics professor Mark J Perry has blamed artists for the boom in the secondary ticketing market.
“Economic logic tells us there are only two conditions that can create a secondary market for concert tickets selling above their list price”, writes Perry on the American Enterprise Institute’s site. “One, the number of concert tickets being offered for sale is too low relative to the number of fans who want to attend the concerts of popular musicians, and/or two, concert tickets must be under-priced relative to their true market price.
“I would suggest that both of those conditions are completely under the control of the artists, and their managers and promoters, in which case we are led ineluctably to this conclusion: musicians and their representatives are 100% responsible for the conditions that guarantee a secondary market where concert tickets to Adele to Beyonce concert are sold above their face value”.
“Stop under-supplying the number of tickets available for your concerts … and the secondary market will naturally evaporate”, he concludes. “You’ll know you’ve supplied enough tickets to meet fan demand when your concerts have unsold seats. Until then, don’t blame natural market forces and ticket scalpers, blame yourselves for creating the market you so frequently complain about”.
