Question

The price charged by the theater for a ticket to the Broadway show Hamilton is so low that there is a huge excess demand for the tickets. Ticket brokers buy these tickets at the low price charged by the theater, and they resell them at much higher prices. These ticket brokers have used illegal software called "ticket bots" to buy tickets.In an effort to thwart the use of this software, theaters are now requiring buyers to type characters into a box to prove that they are human. This new policy, requiring people to type characters into a box, will have an impact on the market for Hamilton theater tickets. Below is a list of possible impacts. Move the impacts that will result from the requirement that buyers type characters into the box labeled "Will Occur." Move the impacts that should not occur into the box labeled "Will Not Occur."

Answer 1

The theater's new policy requiring character entry to prove humanity will likely reduce bot-acquired tickets, lower secondary market supply, and increase customer satisfaction. It is less likely to change the overall supply or costs of the theater.

Step-by-step explanation:

Introducing a requirement for buyers to enter characters to prove they are human is a method to combat the use of illegal ticket bots by ticket brokers, which inflates the market price of popular theater shows like Hamilton. This measure is expected to have several impacts on the market:

• Decrease in the number of tickets acquired by bots, resulting in a more equitable chance for actual fans to purchase tickets at the theater's intended price.
• Reduction in the secondary market supply, as ticket brokers won't be able to acquire as many tickets using bots, potentially leading to lower prices due to the drop in 'artificial' demand from bots.
• Increase in consumer satisfaction as genuine fans have a higher chance of purchasing tickets at fair prices directly from the theaters.

Impacts that are less likely to occur include an increase in the oversupply of tickets since the measure targets the purchasing method and not the actual price or demand for tickets. Also, the theater's cost structure or the supply chain are unlikely to be affected by this policy.

Answer 2

Will not occur:

- ticket brokers will not be able to obtain tickets to resell

- ticket brokers will hire human workers from other countries

Step-by-step explanation:

Indeed, it is not logical to conclude that this ticket brokers will not be able to still resell tickets using other fraudulent ways.

Going to hire workers from another country would be a very expensive option that seems more likely not going to occur.