Increase in supply of Russian sex workers and prices go up? | econfix

 Explanation for increase in sex workers in Ukraine and increasing prices….inflation not Veblen goods?

Econofix writes/cites in his blog:

Neither are sex services consistent with other types of goods that have upward-sloping demand (Giffen goods, goods with network effects, goods with bandwagon effects).

More likely, Uralpolit.ru and the Moscow Times have demonstrated temporary economic illiteracy. Increased supply doesn’t increase prices. On the other hand, inflation does increase prices and that is what is being observed.

https://econfix.wordpress.com/2014/12/22/increase-in-supply-of-russian-sex-workers-and-prices-go-up/

Posted from WordPress for Android

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s