27 Jun 2016
Comments Off on Free Markets 101
The Yankees love to claim that they support the free market when it suits them, and then turn around and violate the basic principals of free markets when it doesn’t. A great case in this was their acrimonious relationship with Stub Hub. Because the Yankees weren’t getting a cut of the fees Stub Hub collected for reselling tickets, the Yankees stopped doing business with them and launched their own ticket exchange. On that exchange the Yankees got some of the fees and got to set a minimum price for any resold ticket, violating a core principal of free markets. They further violated those principals earlier this year when they eliminated print at home tickets in an obvious attempt to stifle competition.
But now they have made peace with Stub Hub and a new deal is in place. It doesn’t allow print at home tickets and it sets a minimum price floor. I will assume that it also gives the Yankees a nice chunk of the 25% fees Stub Hub collects on any ticket being sold via the platform. It’s just another depressing example of how the Yankees, and pretty much every team, soaks the fan while trying to convince them they are doing them a favor.