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Old 07-13-2012, 10:27 AM   #11
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I had an Econ professor who had an interesting idea as far as concert tickets go where the majority of the money would go to the artist/promoter

Its called a Dutch Auction. You set the initiall price really high (lets say $10 000) and the price slowly ticks down. When a price comes along that people are willing to pay for tickets they bid and get their tickets. So you have the people who (presumably) want to see the show the most paying the highest prices, and the other people waiting until the prices go down to $50 or so. The risk is the tickets might be gone if you wait too long. Or, if their not as much in demand, people could be getting tickets for $1 (which would likely lead to some scalping, but not as much because if the damnd is that low initially its not likely to rise much). This would probably prevent a lot of scalping, but definitely requires more of a commitment by the buyer to pay attention to the auction. But it should take most of the consumer surplus away and maximize profits for the entertainer et al vs the scalpers.
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