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Repugnant market

{{original research|date=May 2024}}

A repugnant market is an area of commerce that is considered by society to be outside of the range of market transactions and that bringing this area into the realm of a market would be inherently immoral or uncaring. For example, many people consider a market in human organs to be a repugnant market Elías, Julio J., Nicola Lacetera, and Mario Macis. 2019. [https://ideas.repec.org/a/aea/aecrev/v109y2019i8p2855-88.html "Paying for Kidneys? A Randomized Survey and Choice Experiment."] American Economic Review, 109 (8): 2855-88. or the ability to bet on terrorist acts in prediction market to be repugnant. Others consider the lack of such markets to be even more immoral and uncaring, as trade bans (e.g. in organ transplants{{Cite web| url = http://archive.lewrockwell.com/orig6/murphy-s1.html | title = I'll Give You My Heart... | last = Murphy | first = Stephanie | date = 2005-01-01 | accessdate = 2008-07-08 }}{{Cite news| url = http://www.independent.org/newsroom/article.asp?id=419 | title = The AMA's Opposition to Organ Markets: Time for a Change | last = Kaserman | first = David | date = 2002-05-16 | accessdate = 2008-07-08 }}{{Cite news| url = http://findarticles.com/p/articles/mi_pwwi/is_200805/ai_n25416885 | archive-url = https://archive.today/20120709224922/http://findarticles.com/p/articles/mi_pwwi/is_200805/ai_n25416885 | url-status = dead | archive-date = 2012-07-09 | title = Audience Chooses Market Solution to Organ Shortage in Final Intelligence Squared U.S. Debate of the Season | date = May 2008 | accessdate = 2008-07-08 | work=Market Wire}} and terrorism information){{Cite journal|url=http://www.ccc.nps.navy.mil/si/sept03/terrorism.asp |title=DARPA's Policy Analysis Market for Intelligence: Outside the Box or Off the Wall? |last=Looney |first=Robert |date=September 2003 |accessdate=2008-07-08 |journal=Strategic Insights |volume=II |url-status=dead |archiveurl=https://web.archive.org/web/20081008025110/http://www.ccc.nps.navy.mil/si/sept03/terrorism.asp |archivedate=2008-10-08 }}{{Cite journal| title = The Policy Analysis Market A Thwarted Experiment in the Use of Prediction Markets for Public Policy | last = Hanson | first = Robin | date = July 2007 | journal = MIT Innovations: Technology, Governance, Globalization. | volume = 2 | issue = 3 | doi = 10.1162/itgg.2007.2.3.73 | pages = 73–88| doi-access = free }} can create avoidable human suffering.

Nobel Laureate Alvin Roth (2007){{Cite journal|url=http://kuznets.fas.harvard.edu/~aroth/papers/Repugnance.pdf |title=Repugnance as a Constraint on Markets |last=Roth |first=AE |year=2007 |volume=21 |issue=3 |journal=Journal of Economic Perspectives |accessdate=2008-05-15 |pages=37–58 |doi=10.1257/jep.21.3.37 |url-status=dead |archiveurl=https://web.archive.org/web/20080509062022/http://kuznets.fas.harvard.edu/~aroth/papers/Repugnance.pdf |archivedate=2008-05-09 }} "introduced in the economics literature the concept of "repugnance" for a transaction as the aversion toward other individuals engaging in it, even if the parties directly involved benefit from that trade (i.e. "There are some things no one should be allowed to do"). Repugnance considerations have important consequences on the types of markets and transactions that we observe and, as such, they impose a challenge for policy and market design."Elías, Julio J., Nicola Lacetera, and Mario Macis. 2017. [https://ideas.repec.org/p/cem/doctra/614.html "Understanding repugnance: Implications for public policy."] Working Papers: Serie Documentos de Trabajo 614, Universidad del CEMA.

Examples

{{Refimprove section|date=May 2008}}

The repugnance of markets varies according to time, culture, and economic development, among other factors. Elías, Julio J., Nicola Lacetera, Mario Macis, and Paola Salardi. 2017. [https://ideas.repec.org/a/aea/aecrev/v105y2015i5p361-65.html "Economic Development and the Regulation of Morally Contentious Activities."] American Economic Review, vol. 107(5), pages 76-80, May. Slavery is a market currently considered repugnant while for most of recorded history before {{circa|1000 AD}} it was considered acceptable, and was still considered acceptable against certain people groups until {{circa|1800 AD}}. Examples of markets considered repugnant at one time or place include:

  • Pregnancy/early childhood
  • Abortion
  • Adoption
  • Egg donation for research purposes
  • Fetal organs and aborted fetal tissue[http://www.huffingtonpost.com/jacob-m-appel/are-we-ready-for-a-market_b_175900.html Are we ready for a market in fetal organs?]
  • Surrogacy, legal in India and most states in the U.S. (but banned in France and Japan){{Cite news| url = https://www.nytimes.com/2008/03/10/world/asia/10surrogate.html | title = India Nurtures Business of Surrogate Motherhood | work = The New York Times | last = Gentleman | first = A | date = 2008-03-10 | access-date = 2008-05-15 }}
  • Drugs and food
  • Illegal drug trade
  • Horse meat, whale meat, dog meats (e.g. in California),{{Cite journal|url=http://kuznets.fas.harvard.edu/~aroth/papers/Repugnance.pdf |title=Repugnance as a Constraint on Markets |last=Roth |first=AE |year=2007 |volume=21 |issue=3 |journal=Journal of Economic Perspectives |accessdate=2008-05-15 |pages=37–58 |doi=10.1257/jep.21.3.37 |url-status=dead |archiveurl=https://web.archive.org/web/20080509062022/http://kuznets.fas.harvard.edu/~aroth/papers/Repugnance.pdf |archivedate=2008-05-09 }} cat meat, beef in India, and the meat of endangered animals.
  • Labour
  • Child labor
  • Slavery or indentured servitude
  • Social status/political power
  • Citizenship and/or immigration{{Cite journal |last=Freeman |first=Richard B. |title=People Flows In Globalization |journal=Journal of Economic Perspectives |year=2006 |volume=20 |issue=2 |pages=145–170 |doi=10.1257/jep.20.2.145 |s2cid=154961908 |doi-access=free }} (Investor visas such as the U.S. E-2 visa are exceptions. Several notable economists have proposed selling citizenship){{Cite journal|url=http://www.chicagogsb.edu/magazine/30/2/cover.aspx |title=Citizenship for Sale? |date=2008-06-07 |last=Houlihan |first=Patricia |accessdate=2008-08-08 |journal=Chicago GSB Magazine |url-status=dead |archiveurl=https://web.archive.org/web/20080802023824/http://www.chicagogsb.edu/magazine/30/2/cover.aspx |archivedate=2008-08-02 }}
  • Education{{Cite journal| url = https://www.un.org/en/documents/udhr/index.shtml#a26 | title = The Universal Declaration of Human Rights - Article 26}}{{not in citation|date=November 2016}}
  • Lobbying{{citation needed|date=October 2012}}
  • Military mercenaries
  • Political corruption activities, such as bribery and influence peddling
  • Vote buying{{Cite web|url=http://www.stanford.edu/~albertod/docs/Bellagio_Schaffer_Schedler.pdf |title=What is Vote Buying? The Limits of the Market Model |last=Schaffer |first=FC |author2=Schedler A |publisher=Stanford University, Department of Political Science |accessdate=2008-05-15 |date=2005-11-28 |archiveurl=https://web.archive.org/web/20080229101307/http://www.stanford.edu/~albertod/docs/Bellagio_Schaffer_Schedler.pdf |archivedate=2008-02-29 |url-status=dead }}
  • Money/speculation
  • Currency speculation{{citation needed|date=October 2012}}
  • Gambling
  • Predatory lending, especially mortgage lending{{citation needed|date=October 2012}}
  • Pyramid schemes and multi-level marketing
  • Selling short{{citation needed|date=October 2012}}
  • Ticket touting in sports events and concerts{{Cite web| url = http://www.thundertix.com/fee-free-ticketing-software/ticket-scalping-a-repugnant-transaction/ | title = Ticket Scalping: A Repugnant Transaction | date = 2012 }}
  • Usury (has never been allowed by Islam and was historically banned in Christian countries)

File:Christ drives the Usurers out of the Temple.jpg in Passionary of Christ and Antichrist.The references cited in the Passionary for this woodcut: {{bibleverse|1 John|2:14–16}}, {{bibleverse|Matthew|10:8}}, and [http://www.bookofconcord.com/defense_6_church.php The Apology of the Augsburg Confession, Article 8, Of the Church]]]

  • Economic corruption/media power
  • Payola{{citation needed|date=October 2012}}
  • Product placement in some European countries{{cite news| url = http://economist.com/business/displaystory.cfm?story_id=10064059 | title = In the picture | newspaper = The Economist | date = 2007-11-01 | access-date =2008-05-15}}
  • Radio spectrum{{cite news| url = http://www.ft.com/cms/s/0/bfffd9fa-e9e2-11de-ae43-00144feab49a.html | title = Ronald Coase and the radio spectrum | newspaper = The Financial Times | last = Hazlett | first = T | access-date = 2009-12-17 | date = 2009-12-16}}
  • Sex
  • Pornography (repugnant in some countries/cultures, especially paraphiliac pornography)
  • Prostitution Elías, Julio J., Nicola Lacetera, and Mario Macis. 2015. [https://ideas.repec.org/a/aea/aecrev/v105y2015i5p361-65.html "Sacred Values? The Effect of Information on Attitudes toward Payments for Human Organs."] American Economic Review, vol. 105(5), pages 361–365, May.
  • Virginity{{cite news|last1=Chung|first1=Frank|title=UK student sells virginity to 'Hollywood actor' for $1.9{{nbsp}}million on controversial website|url=http://www.news.com.au/finance/money/wealth/uk-student-sells-virginity-to-hollywood-actor-for-19-million-on-controversial-website/news-story/d9163bcc7b6a36e15c7eda034fa0b704|access-date=28 March 2018|date=27 March 2018}}
  • Other
  • Certain prediction markets (e.g. 'terrorism futures market'){{citation needed|date=October 2012}}
  • Healthcare{{Cite journal| url = https://www.un.org/en/documents/udhr/index.shtml#a25 | title = The Universal Declaration of Human Rights - Article 25}}
  • Medical debt
  • Organ trade and organ donation from a live donor (Turkey and the Philippines are notable exceptions){{Cite news| url = https://www.nytimes.com/2007/12/16/magazine/16kidney-t.html | title = Desperately Seeking a Kidney | work = The New York Times | last = Satel | first = S | date = 2007-12-16 }} (subscription only){{Cite web| url = http://www.cato.org/pub_display.php?pub_id=9273 | title = Organ Sales and Moral Travails: Lessons from the Living Kidney Vendor Program in Iran | publisher = Cato Institute | last = Hippen | first = BE | date = 2008-03-20 | access-date = 2008-05-15}}{{cite news| url = http://freakonomics.blogs.nytimes.com/2008/04/29/human-organs-for-sale-legally-in-which-country/?hp | title = Human Organs for Sale, Legally, in ... Which Country? | last = Dubner | first = SJ | publisher = The New York Times Freakonomics Blog | date = 2008-04-29 | access-date = 2008-05-15}}
  • Cadavers
  • Life insurance{{citation needed|date=October 2012}}{{Cite web |title=Universal Life Insurance Market Report |url=https://www.pristinemarketinsights.com/universal-life-insurance-market-report |access-date=6 April 2025 |website=Pristine Market Insights}}
  • Real estate in Cuba{{Cite news| url = https://www.nytimes.com/2008/01/28/world/americas/28cuba.html | title = With a Whisper, Cuba's Housing Market Booms | work = The New York Times | last = Lacey | first = M | access-date = 2008-05-15 | date = 2008-01-28 }}
  • Real estate broker/agent profession or flipping real estate{{citation needed|date=October 2012}}
  • Metered parking{{cite news| url = https://www.wsj.com/articles/SB118574808780081653?mod=hps_us_editors_picks | title = When Parallel Parking Was New and Meters Seemed Un-American | newspaper = The Wall Street Journal | last = Crossen | first = C | date = 2007-06-30 | access-date = 2008-05-15}}
  • Contract killing
  • Simony
  • Odious debt

See also

References

{{Reflist}}

External links

  • [http://news.bbc.co.uk/nol/shared/spl/hi/programmes/analysis/transcripts/12_07_07.txt Transcript of BBC broadcast on repugnant markets]
  • [http://video.google.com/videoplay?docid=8717497583686568676 Google video on Market Failure and Market Design]

Category:Business ethics