Some States and Localities Have Laws That Make It Illegal

question 45

Essay

Some states and localities have laws that make it illegal to resell event tickets at prices higher than the original,legal market price.What would be the positive and negative consequences to such a law?

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Definitions:

Theory Of Rent

A principle explaining how the price and allocation of land and its resources are determined based on their use, productivity, and locational advantages.

Efficiently Allocating

The process of distributing resources in a manner that maximizes the net benefits received from their use.

Long-term Investment

Assets that are held for an extended period, typically over one year, to generate growth, income, or capital gains, such as stocks or real estate.

Present Value

The existing value of a forthcoming sum of money or cash flow sequence, adjusted for a specific return rate.