The reason for the existence of ticket scalpers at concerts of popular entertainers is that
A) some provinces allow them.
B) someone will always try to exploit a situation for financial gain.
C) scalpers have very high opportunity costs.
D) some consumers will value a ticket for a front row seat at more than its face value.
E) ticket prices are too high.

Question

Quizplus · Accepted Answer

Scalpers exist because some consumers are willing to pay more than the face value of a ticket to get a better seat or to attend a sold-out performance. The scalpers take advantage of this willingness to pay more and make a profit.

The Reason for the Existence of Ticket Scalpers at Concerts