As a believer in free markets, I don’t instinctively support greater regulation. But as the author of a book titled “An Economist Walks Into a Brothel,” I make an exception for sex work.
A market for a good or service requires regulation when there is scope for exploitation or negative externalities, borne by the rest of economy or society, that sellers don’t account for. The market for vice meets both those conditions. And yet, even as more vices become more mainstream — see, e.g., gambling and marijuana — the market remains underregulated.
The next frontier is sex work, which has become an issue in the New York City mayoral race. Zohran Mamdani, who is currently the leading candidate, has been a champion of decriminalizing sex work, though says he does not support legalizing it.
But decriminalizing prostitution would be a mistake. If sex work is brought out of the shadows, it needs to be regulated.
Continue reading the entire piece here at Bloomberg Opinion
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Allison Schrager is a senior fellow at the Manhattan Institute and a contributing editor of City Journal.
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