With respect to legalizing and regulating prostitution, which is more problematic: the increased demand for certain types of sexual services or the increased supply? Why?
I think that an increase in the supply of prostitution is more problematic. By increasing the supply, the price drops. This means that people, whose price they were willing to pay was close to the previous equilibrium point, now will be willing to pay for prostitution. The price drop would also allow for the users of prostitution to purchase either more time or more occasions with the prostitute. The user of the service could pay the same amount as before, and have enough for 2 occasions. Prostitution would also become more prevalent, because there are more people offering the service. Some people don't use prostitution, because of the distance or sketchy area they would need to travel to, to participate in it. With it being more in the open and with more choices, more people would be willing to try the services of a prostitute. Also with more prostitutes comes more variety of services. People that are into really kinky sex stuff, can now have their desires satisfied, because some prostitute would be willing to perform a strange act.
i believed that increasing supply will be more problematic than increasing demand. increasing supply can reduce the price down. they might more advertizing to maximize the profit. demand for the prostitution might goes up because they will paid less taxes. when people are willing to more use the service, there will be health problem. therefore, i believed that increasing a supply will be more problematic.
Decriminalization of prostitution can lead to an increased demand in the service. Typically, increased demand will draw additional producers to the market. But for the market of prostitution, I tend to think that supply is inelastic; that is, not that many people want to be hookers. This means that increase in demand only has an effect on price, creating a glorified and lucrative business. Furthermore, some "johns" may not be able to afford this service anymore. Prostitution may serve a social outlet reducing rape, spousal abuse, pedophilia, and other related crimes. If demand increases, bringing price along with it, then the likelihood of these crimes may increase.
I think that once prostitution is legalized and regulated, the black market of this sexual services will have some dramatic changes. There will be no doubt that both the supply and demand aspects of this market will be dynamically affected. The increase and both supply and demand could be problematic due to the negative externalities of such actions on the social welfare function. However the elasticities (slopes) of both the supply and demand curves will be needed before we can determine the change in magnitude with respect to the equilibrium prices and the equilibrium quantities of the market, and then we can draw some conclusions on whether the supply side or the demand side is generating problems with regards to the negative externalities on society. The increase in supply for prostitution might not be a problem for society because according to microeconomics theory, as more firms enter the market, the profit generated from selling the products (in this case services) will tend to decrease, and thus we might eventually win the war on prostitution without fighting any battles.
The increase demand for certain types of sexual services is more problematic. If prostitution is legalized and regulated by the state, then many problems will arrive. At first, prostitutes will demand to themselves more discipline in order to satisfy different tastes among costumers due to more competition. This will lead to health problems and the distribution of diseases due to the stress and neglect to their health while competing. Then, the increase in demand will lead to a decrease in price. There will be many prostitutes loosing income due to a lot of competition. This will just occur for a specific period of time until prostitution end up being a service that generates profit. By the end of the increase in deman, prostitution will no longer be a business, it will be a service that exploits prostitutes.
I’ve read in some articles that as income increases (for men), demand for prostitutes decreases. So if we think about it, prostitution is an inferior good and a wife is a much “better good”. I’m kidding. So if we think about it, if there is no demand for a good, then eventually supply (prostitution) will disappear. We have seen this happen before. For instance, we no longer demand pagers and what happened to pagers? Strangely enough they somehow disappeared, right? If there is no demand for a good, then eventually supply (prostitution) will disappear. Now, by legalizing prostitution, the supply might increase in the beginning, and an increase in supply drops prices down. The effect that this will have is that it could possibly eliminate some girls because their competition will take them out, leaving some eventually unemployed. For example, a 20 year old may take out a 35-year-old prostitute who has three kids and doesn’t look as the 20 year old anymore. For this reason, I am going to argue that DEMAND for prostitution is more problematic. For example, the 35 year old might go out of her way and do anything possible in order to look like that 20 year old. Just think about it, if the 20 year old has implants that demanders like, the 35 year old might go and steal them from her, I am kidding, but she might do something outrageous in order to stay in the market, and everything is do to what? Do to the demand for a good-looking prostitute.
Give an inch, they'll take a mile. Legalized prostitution could spell out that the suppliers become price takers, dependent upon the demand market, although wage laws may serve to counteract severe downward pressure upon prices. That being said, there will still be a demand for less costly services and a black market would still exist as a result of the prevailing wage supports.
Also, the demand is extremely varied as far as tastes and preferences are concerned. Given current society, the fact remains that some may express extreme tastes in prostitutes. For example, s&m, simulated rape, etc. There will be money available to prostitutes for legal "standard" sex and "production" can be easily regulated. However, "demand" is much more difficult to regulate since it involves psychological, biological, and philosophical issues. If a customer wishes his prostitute to consume urine, the regulatory practices involved in legalization would mean that the prostitute is legally prohibited from this act in accordance with federal health regulations. Yet his demand would still require satiation, and he may very well go elsewhere on the black market to get it, which still leaves the very problem legalization wished to address, albeit on a smaller scale. Thus, because of the quirks of demand, there will be a perpetual political battle over the proper amounts of regulation as demand-driven factions will pit regulation against liberty of preferences. If one preference is legalized, other preferences would wish to be enabled as well.
As it has been previously argued, I believe that the increase demand for prostitution is more problematic. People and entrepreneurs will go out of their way to satisfy the consumers needs, which in this case is prostitution. As demand increases, this means that they will increase supply (prostitutes) at any cost just to make profit. It would make no sense if there was an increase in supply and then no one to demand it. Individuals dictate the market, so when people are willing to buy sex illegally for a cheap price, they are giving incentives to look for that product at little or no cost in order to maximize profit and sell it for a bargain to the consumers eyes, thus leading to an increased crime rate in society. For this reason, legalization will reduce crime rates and create a barrier for an increase in black markets for this field because of regulation measures.
I think we'll have problems on both ends. The increase in supply will most likely push out those in the market now, leaving those who are doing the illegal activity now "jobless" and now they are going to look for some other criminal activity to obtain money. The increase in demand can also be problematic, in cases where since its legal people might be willing to push the envelope with taste and preferences. If demand increase prices are increased and that can likely lead to induce men and women who otherwise wouldn't enter that field, to join the "prostitution" career to satisfy demands and make money.
I think an increase in the demand for prostitutes relative to supply would be more problematic since this would likely lead to an increase in the general price for prostitutes (the magnitude of the increase would depend on the elasticities of the S & D curves). A higher price might mean that there will be some people who would have liked to hire a prostitute but can no longer afford it. As a result, these people might seek a sexual outlet in other illegal ways such as rape or using a prostitute on the black market (and dealing with the associated seediness like violence and disease) and, overall, have a more negative impact on society than if supply was increased.
An increase demand would be more problematic. An increase in demand would lead to higher prices and more people (females) would look at prostitution as a viable alternative to other professions. Although it would be taxed and additional revenue would be generated for the state, less females would find other professions worthwhile. These professions could include many female dominated industries such as teaching, nursing, secretaries, etc. It may even lead to some girls or early teenagers to want to grow up to be a prostitute. Also, with increased prices from an increase in demand, males will be unable to afford or frequent prostitutes as much as they would like. They would have to go to other alternatives to meet their needs and this could lead to many negative externalities. An increase in rape or abuse would not come as a surprise. An increase in supply would cause lower prices which leads to more people being able to afford prostitutes. But if society doesn't have a high demand for prostitutes, many prostitutes would find the profession unappealing if they aren't able to make enough money to sustain their lifestyles. Although demand would increase slightly from lower prices, I don't feel it has as many negative externalities on society as an increase in demand would have. It all depends on how consumers view prostitution, if it is a normal good or how elastic the demand is.
I believe that valid arguments can be made for both increase supply & demand being problematic. However, It seems that increased demand being more problematic, for a couple of reasons. If prostitution was legalized and regulated, there would be tons of issues trying to keep underage girls from participating, and the guidelines for STD testing would need to be very clear and tough. Because of it’s legality, tons of people would then flock into that industry. Many people who may have been deterred or afraid of being caught with a prostitute, would now be more then happy to use these services now. Many unemployed or struggling people may turn to that occupation because they can legally earn wages and would be in high demand. A much higher demand would obviously increase price, so eventually the market would be flooded with these services. Taxing and generating a revenue from such a controversial “profession” is a better alternative then the current system/prohibition of prostitution because a lot of resources are drained from trying to reduce the consumption of these services. -Mychal Soto
I beleive that an increas in supply would be more problemmatic. This would increas both the price and the quontity of certain types of sexual services. In regards to price, this would attract more produsers or people that would perform the service. The problem with the quontity increasing, the chance of more STDs would have a more chance of spreading.
As Mike mentioned earlier, both sides have valid arguments. I feel that supply will create more costs and problems. By having an increased supply your creating a surplus of services. This surplus will drive the price down. When the consumer is weighing the price of service's he or she will be more likely to buy because their dollar is going farther. This would create more sexual encounters, therefore, increasing the amount of std's and or costs assiciated with testing and regulating the prostitution.
An increase in supply will be more problematic because the price will drop. A drop in price will lead to more people buying prostitutes. Also, prostitutes will have to increase the amount of jobs they do in order to make a living. Since more people are participating in prostitution it may lead people into trying it, which might make it more acceptable then before. All in all, an increased supply will make prostitution more prevalent and will cause more people to act out against it.
Even though the increase of both supply and demand could pose problems, I think that ultimately it is the increased demand that will be the most problematic. This is mainly because, in this situation, I believe that demand controls supply more so instead of the other way around. This is especially true in the beginning. It is not likely that a significant number of women are going to rush to become prostitutes just because it is now legal. It is more likely that the demand will increase more initially because those who wanted to do it before but were too afraid to be reprimanded are now more willing. The supply may eventually increase because of this but not likely on its own. Therefore, even though increased supply is problematic, it will most likely not occur without increased demand in the first place. In this business, demand not only controls the quantity of the supply but in many ways it controls the type of service as well. There are many different types of sexual services that could be demanded in this business and it is up to the individual prostitutes to supply them. If a prostitute does not supply the services desired then the “consumer” could always go find another one that is willing. I feel that in this type of business there will always be those suppliers that are willing to do more than others, it’s only natural. Because of this, the increased demand could cause the suppliers to provide services that they otherwise wouldn’t have and ultimately change the profession.
The demand will be more problematic then supply. With having other sexual services, the demand for prostitutes will go down.Other sexual services are substitute since some people have their own taste and preference on sexual services.
I think that demand might be good. Scenario: prostitution is legal, demand (in my opinion) is definitely going to increase as it becomes more socially acceptable, and of course supply is going to increase to meet that need. I was just thinking about Alex's scenario comparing a 35 year old to a 20 year old, but I think with sex there are COMPLETELY different tastes and preferences, and I think that those will be fulfilled. However, supply might be more problematic because, as it becomes more acceptable, prostitution would be something that A LOT more women would go to because it is a 'lucrative' business, until there are too many women and the price is driven down. It would take the profitability out of the market.
The supply will be more problematic because with more competition the prostitute have to become more adaptable; lower price or other forms of marketing. Also demand will increase because of this, people have a tendency to spend more when prices are lower i.e buy one get one 50% off sales or buy 2 get 1 free these apply with prostitute as well. For the same price that you pay for a prostitute when supply is low you can now get 2 for the same price.
In my opinion the increase in demand for certain types of sexual services would be more problematic than an increase in supply of prostitutes. One reason that an increase in supply would be less problematic is due to the relative control that the government can influence through legalization on the supply of prostitution. Any sort of regulations that would affect demand or the preferences of consumers would be difficult to enforce. Overall a policy that effects and regulates the supply of prostitution would be more effective than a policy regulating demand of certain types of sexual services because preferences for certain types of sexual services would be relatively inelastic.
I think that an increase in the supply of prostitution is more problematic. By increasing the supply, the price drops. This means that people, whose price they were willing to pay was close to the previous equilibrium point, now will be willing to pay for prostitution. The price drop would also allow for the users of prostitution to purchase either more time or more occasions with the prostitute. The user of the service could pay the same amount as before, and have enough for 2 occasions. Prostitution would also become more prevalent, because there are more people offering the service. Some people don't use prostitution, because of the distance or sketchy area they would need to travel to, to participate in it. With it being more in the open and with more choices, more people would be willing to try the services of a prostitute. Also with more prostitutes comes more variety of services. People that are into really kinky sex stuff, can now have their desires satisfied, because some prostitute would be willing to perform a strange act.
ReplyDeletei believed that increasing supply will be more problematic than increasing demand. increasing supply can reduce the price down. they might more advertizing to maximize the profit. demand for the prostitution might goes up because they will paid less taxes. when people are willing to more use the service, there will be health problem. therefore, i believed that increasing a supply will be more problematic.
ReplyDeleteDecriminalization of prostitution can lead to an increased demand in the service. Typically, increased demand will draw additional producers to the market. But for the market of prostitution, I tend to think that supply is inelastic; that is, not that many people want to be hookers. This means that increase in demand only has an effect on price, creating a glorified and lucrative business. Furthermore, some "johns" may not be able to afford this service anymore. Prostitution may serve a social outlet reducing rape, spousal abuse, pedophilia, and other related crimes. If demand increases, bringing price along with it, then the likelihood of these crimes may increase.
ReplyDeleteI think that once prostitution is legalized and regulated, the black market of this sexual services will have some dramatic changes. There will be no doubt that both the supply and demand aspects of this market will be dynamically affected. The increase and both supply and demand could be problematic due to the negative externalities of such actions on the social welfare function. However the elasticities (slopes) of both the supply and demand curves will be needed before we can determine the change in magnitude with respect to the equilibrium prices and the equilibrium quantities of the market, and then we can draw some conclusions on whether the supply side or the demand side is generating problems with regards to the negative externalities on society. The increase in supply for prostitution might not be a problem for society because according to microeconomics theory, as more firms enter the market, the profit generated from selling the products (in this case services) will tend to decrease, and thus we might eventually win the war on prostitution without fighting any battles.
ReplyDeleteThe increase demand for certain types of sexual services is more problematic. If prostitution is legalized and regulated by the state, then many problems will arrive. At first, prostitutes will demand to themselves more discipline in order to satisfy different tastes among costumers due to more competition. This will lead to health problems and the distribution of diseases due to the stress and neglect to their health while competing. Then, the increase in demand will lead to a decrease in price. There will be many prostitutes loosing income due to a lot of competition. This will just occur for a specific period of time until prostitution end up being a service that generates profit. By the end of the increase in deman, prostitution will no longer be a business, it will be a service that exploits prostitutes.
ReplyDeleteI’ve read in some articles that as income increases (for men), demand for prostitutes decreases. So if we think about it, prostitution is an inferior good and a wife is a much “better good”. I’m kidding. So if we think about it, if there is no demand for a good, then eventually supply (prostitution) will disappear. We have seen this happen before. For instance, we no longer demand pagers and what happened to pagers? Strangely enough they somehow disappeared, right? If there is no demand for a good, then eventually supply (prostitution) will disappear. Now, by legalizing prostitution, the supply might increase in the beginning, and an increase in supply drops prices down. The effect that this will have is that it could possibly eliminate some girls because their competition will take them out, leaving some eventually unemployed. For example, a 20 year old may take out a 35-year-old prostitute who has three kids and doesn’t look as the 20 year old anymore. For this reason, I am going to argue that DEMAND for prostitution is more problematic. For example, the 35 year old might go out of her way and do anything possible in order to look like that 20 year old. Just think about it, if the 20 year old has implants that demanders like, the 35 year old might go and steal them from her, I am kidding, but she might do something outrageous in order to stay in the market, and everything is do to what? Do to the demand for a good-looking prostitute.
ReplyDeleteGive an inch, they'll take a mile. Legalized prostitution could spell out that the suppliers become price takers, dependent upon the demand market, although wage laws may serve to counteract severe downward pressure upon prices. That being said, there will still be a demand for less costly services and a black market would still exist as a result of the prevailing wage supports.
ReplyDeleteAlso, the demand is extremely varied as far as tastes and preferences are concerned. Given current society, the fact remains that some may express extreme tastes in prostitutes. For example, s&m, simulated rape, etc. There will be money available to prostitutes for legal "standard" sex and "production" can be easily regulated. However, "demand" is much more difficult to regulate since it involves psychological, biological, and philosophical issues. If a customer wishes his prostitute to consume urine, the regulatory practices involved in legalization would mean that the prostitute is legally prohibited from this act in accordance with federal health regulations. Yet his demand would still require satiation, and he may very well go elsewhere on the black market to get it, which still leaves the very problem legalization wished to address, albeit on a smaller scale.
Thus, because of the quirks of demand, there will be a perpetual political battle over the proper amounts of regulation as demand-driven factions will pit regulation against liberty of preferences. If one preference is legalized, other preferences would wish to be enabled as well.
As it has been previously argued, I believe that the increase demand for prostitution is more problematic. People and entrepreneurs will go out of their way to satisfy the consumers needs, which in this case is prostitution. As demand increases, this means that they will increase supply (prostitutes) at any cost just to make profit. It would make no sense if there was an increase in supply and then no one to demand it. Individuals dictate the market, so when people are willing to buy sex illegally for a cheap price, they are giving incentives to look for that product at little or no cost in order to maximize profit and sell it for a bargain to the consumers eyes, thus leading to an increased crime rate in society. For this reason, legalization will reduce crime rates and create a barrier for an increase in black markets for this field because of regulation measures.
ReplyDeleteI think we'll have problems on both ends. The increase in supply will most likely push out those in the market now, leaving those who are doing the illegal activity now "jobless" and now they are going to look for some other criminal activity to obtain money. The increase in demand can also be problematic, in cases where since its legal people might be willing to push the envelope with taste and preferences. If demand increase prices are increased and that can likely lead to induce men and women who otherwise wouldn't enter that field, to join the "prostitution" career to satisfy demands and make money.
ReplyDeleteI think an increase in the demand for prostitutes relative to supply would be more problematic since this would likely lead to an increase in the general price for prostitutes (the magnitude of the increase would depend on the elasticities of the S & D curves). A higher price might mean that there will be some people who would have liked to hire a prostitute but can no longer afford it. As a result, these people might seek a sexual outlet in other illegal ways such as rape or using a prostitute on the black market (and dealing with the associated seediness like violence and disease) and, overall, have a more negative impact on society than if supply was increased.
ReplyDeleteAn increase demand would be more problematic. An increase in demand would lead to higher prices and more people (females) would look at prostitution as a viable alternative to other professions. Although it would be taxed and additional revenue would be generated for the state, less females would find other professions worthwhile. These professions could include many female dominated industries such as teaching, nursing, secretaries, etc. It may even lead to some girls or early teenagers to want to grow up to be a prostitute. Also, with increased prices from an increase in demand, males will be unable to afford or frequent prostitutes as much as they would like. They would have to go to other alternatives to meet their needs and this could lead to many negative externalities. An increase in rape or abuse would not come as a surprise. An increase in supply would cause lower prices which leads to more people being able to afford prostitutes. But if society doesn't have a high demand for prostitutes, many prostitutes would find the profession unappealing if they aren't able to make enough money to sustain their lifestyles. Although demand would increase slightly from lower prices, I don't feel it has as many negative externalities on society as an increase in demand would have. It all depends on how consumers view prostitution, if it is a normal good or how elastic the demand is.
ReplyDeleteThis comment has been removed by the author.
ReplyDeleteI believe that valid arguments can be made for both increase supply & demand being problematic. However, It seems that increased demand being more problematic, for a couple of reasons. If prostitution was legalized and regulated, there would be tons of issues trying to keep underage girls from participating, and the guidelines for STD testing would need to be very clear and tough. Because of it’s legality, tons of people would then flock into that industry. Many people who may have been deterred or afraid of being caught with a prostitute, would now be more then happy to use these services now. Many unemployed or struggling people may turn to that occupation because they can legally earn wages and would be in high demand. A much higher demand would obviously increase price, so eventually the market would be flooded with these services. Taxing and generating a revenue from such a controversial “profession” is a better alternative then the current system/prohibition of prostitution because a lot of resources are drained from trying to reduce the consumption of these services.
ReplyDelete-Mychal Soto
I beleive that an increas in supply would be more problemmatic. This would increas both the price and the quontity of certain types of sexual services. In regards to price, this would attract more produsers or people that would perform the service. The problem with the quontity increasing, the chance of more STDs would have a more chance of spreading.
ReplyDeleteAs Mike mentioned earlier, both sides have valid arguments. I feel that supply will create more costs and problems. By having an increased supply your creating a surplus of services. This surplus will drive the price down. When the consumer is weighing the price of service's he or she will be more likely to buy because their dollar is going farther. This would create more sexual encounters, therefore, increasing the amount of std's and or costs assiciated with testing and regulating the prostitution.
ReplyDeleteAn increase in supply will be more problematic because the price will drop. A drop in price will lead to more people buying prostitutes. Also, prostitutes will have to increase the amount of jobs they do in order to make a living. Since more people are participating in prostitution it may lead people into trying it, which might make it more acceptable then before. All in all, an increased supply will make prostitution more prevalent and will cause more people to act out against it.
ReplyDeleteEven though the increase of both supply and demand could pose problems, I think that ultimately it is the increased demand that will be the most problematic. This is mainly because, in this situation, I believe that demand controls supply more so instead of the other way around. This is especially true in the beginning. It is not likely that a significant number of women are going to rush to become prostitutes just because it is now legal. It is more likely that the demand will increase more initially because those who wanted to do it before but were too afraid to be reprimanded are now more willing. The supply may eventually increase because of this but not likely on its own. Therefore, even though increased supply is problematic, it will most likely not occur without increased demand in the first place.
ReplyDeleteIn this business, demand not only controls the quantity of the supply but in many ways it controls the type of service as well. There are many different types of sexual services that could be demanded in this business and it is up to the individual prostitutes to supply them. If a prostitute does not supply the services desired then the “consumer” could always go find another one that is willing. I feel that in this type of business there will always be those suppliers that are willing to do more than others, it’s only natural. Because of this, the increased demand could cause the suppliers to provide services that they otherwise wouldn’t have and ultimately change the profession.
The demand will be more problematic then supply. With having other sexual services, the demand for prostitutes will go down.Other sexual services are substitute since some people have their own taste and preference on sexual services.
ReplyDeleteI think that demand might be good. Scenario: prostitution is legal, demand (in my opinion) is definitely going to increase as it becomes more socially acceptable, and of course supply is going to increase to meet that need. I was just thinking about Alex's scenario comparing a 35 year old to a 20 year old, but I think with sex there are COMPLETELY different tastes and preferences, and I think that those will be fulfilled. However, supply might be more problematic because, as it becomes more acceptable, prostitution would be something that A LOT more women would go to because it is a 'lucrative' business, until there are too many women and the price is driven down. It would take the profitability out of the market.
ReplyDeleteThe supply will be more problematic because with more competition the prostitute have to become more adaptable; lower price or other forms of marketing. Also demand will increase because of this, people have a tendency to spend more when prices are lower i.e buy one get one 50% off sales or buy 2 get 1 free these apply with prostitute as well. For the same price that you pay for a prostitute when supply is low you can now get 2 for the same price.
ReplyDeleteIn my opinion the increase in demand for certain types of sexual services would be more problematic than an increase in supply of prostitutes. One reason that an increase in supply would be less problematic is due to the relative control that the government can influence through legalization on the supply of prostitution. Any sort of regulations that would affect demand or the preferences of consumers would be difficult to enforce. Overall a policy that effects and regulates the supply of prostitution would be more effective than a policy regulating demand of certain types of sexual services because preferences for certain types of sexual services would be relatively inelastic.
ReplyDelete