Advanced Search
MyIDEAS: Login to save this paper or follow this series

Does Legalized Prostitution Increase Human Trafficking?

Contents:

Author Info

  • Seo-Young Cho

    (Georg-August-University Göttingen)

  • Axel Dreher

    (Heidelberg University)

  • Eric Neumayer

    (London School of Economics and Political Science)

Abstract

This paper investigates the impact of legalized prostitution on human trafficking inflows. According to economic theory, there are two opposing effects of unknown magnitude. The scale effect of legalizing prostitution leads to an expansion of the prostitution market, increasing human trafficking, while the substitution effect reduces demand for trafficked women as legal prostitutes are favored over trafficked ones. Our empirical analysis for a cross-section of up to 150 countries shows that the scale effect dominates the substitution effect. On average, the legalization of prostitution increases human trafficking inflows.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www2.vwl.wiso.uni-goettingen.de/courant-papers/CRC-PEG_DP_96.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Courant Research Centre PEG in its series Courant Research Centre: Poverty, Equity and Growth - Discussion Papers with number 96.

as in new window
Length:
Date of creation: 29 Sep 2011
Date of revision: 16 Jan 2012
Handle: RePEc:got:gotcrc:096

Contact details of provider:
Postal: Platz der Goettinger Sieben 3; D-37073 Goettingen, GERMANY
Phone: +49 551 39 14066
Fax: + 49 551 39 14059
Web page: http://www.uni-goettingen.de/en/82144.html

Related research

Keywords: human trafficking; prostitution;

Other versions of this item:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Seo-Young Cho, 2011. "Integrating Equality - Globalization, Women’s Rights, Son Preference and Human Trafficking," Courant Research Centre: Poverty, Equity and Growth - Discussion Papers, Courant Research Centre PEG 73, Courant Research Centre PEG.
  2. Epstein, Gil S. & Gang, Ira N., 2010. "Migration and Culture," IZA Discussion Papers 5123, Institute for the Study of Labor (IZA).
  3. World Bank, 2010. "World Development Indicators 2010," World Bank Publications, The World Bank, number 4373, August.
  4. Jakobsson, Niklas & Kotsadam, Andreas, 2010. "The Law and Economics of International Sex Slavery: Prostitution Laws and Trafficking for Sexual Exploitation," Working Papers in Economics, University of Gothenburg, Department of Economics 458, University of Gothenburg, Department of Economics, revised 07 Jun 2013.
  5. Niklas Potrafke, 2013. "Policies against Human Trafficking: The Role of Religion and Political Institutions," CESifo Working Paper Series 4278, CESifo Group Munich.
  6. Di Tommaso Maria Laura & Shima Isilda & Steinar Strom & Bettio Francesca, 2007. "As Bad as it Gets: Well Being Deprivation of Sexually Exploited Trafficked women," Department of Economics and Statistics Cognetti de Martiis. Working Papers, University of Turin 200703, University of Turin.
  7. Niklas Potrafke & Heinrich Ursprung, 2011. "Globalization and Gender Equality in Developing Countries," Working Paper Series of the Department of Economics, University of Konstanz, Department of Economics, University of Konstanz 2011-33, Department of Economics, University of Konstanz.
  8. Omar Mahmoud, Toman & Trebesch, Christoph, 2009. "The Economic Drivers of Human Trafficking: Micro-Evidence from Five Eastern European Countries," Proceedings of the German Development Economics Conference, Frankfurt a.M. 2009, Verein für Socialpolitik, Research Committee Development Economics 38, Verein für Socialpolitik, Research Committee Development Economics.
  9. Leamer, Edward E, 1983. "Let's Take the Con Out of Econometrics," American Economic Review, American Economic Association, American Economic Association, vol. 73(1), pages 31-43, March.
  10. Samuel Cameron & Alan Collins, 2003. "Estimates of a Model of Male Participation in the Market for Female Heterosexual Prostitution Services," European Journal of Law and Economics, Springer, Springer, vol. 16(3), pages 271-288, November.
  11. Martin Gassebner & Michael Lamla & Jan-Egbert Sturm, 2006. "Economic, Demographic and Political Determinants of Pollution Reassessed: A Sensitivity Analysis," KOF Working papers, KOF Swiss Economic Institute, ETH Zurich 06-129, KOF Swiss Economic Institute, ETH Zurich.
  12. Marina Giusta & Maria Tommaso & Steinar Strøm, 2009. "Who is watching? The market for prostitution services," Journal of Population Economics, Springer, Springer, vol. 22(2), pages 501-516, April.
  13. José Cheibub & Jennifer Gandhi & James Vreeland, 2010. "Democracy and dictatorship revisited," Public Choice, Springer, Springer, vol. 143(1), pages 67-101, April.
  14. Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer & Robert W. Vishny, 1998. "Law and Finance," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 106(6), pages 1113-1155, December.
  15. Cho, Seo-Young & Dreher, Axel & Neumayer, Eric, 2010. "The spread of anti-trafficking policies: Evidence from a new index," Center for European, Governance and Economic Development Research Discussion Papers 119, University of Goettingen, Department of Economics.
  16. Potrafke, Niklas & Ursprung, Heinrich W., 2012. "Globalization and gender equality in the course of development," European Journal of Political Economy, Elsevier, Elsevier, vol. 28(4), pages 399-413.
  17. Alan Collins & Guy Judge, 2010. "Differential enforcement across police jurisdictions and client demand in paid sex markets," European Journal of Law and Economics, Springer, Springer, vol. 29(1), pages 43-55, February.
  18. Randall Akee & Arnab K. Basu & Arjun Bedi & Nancy H. Chau, 2014. "Transnational Trafficking, Law Enforcement, and Victim Protection: A Middleman Trafficker’s Perspective," Journal of Law and Economics, University of Chicago Press, University of Chicago Press, vol. 57(2), pages 349 - 386.
  19. Miron, Jeffrey A & Zwiebel, Jeffrey, 1991. "Alcohol Consumption during Prohibition," American Economic Review, American Economic Association, American Economic Association, vol. 81(2), pages 242-47, May.
  20. Xavier X. Sala-i-Martin, 1997. "I Just Ran Four Million Regressions," NBER Working Papers 6252, National Bureau of Economic Research, Inc.
  21. Lena Edlund & Evelyn Korn, 2002. "A Theory of Prostitution," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 110(1), pages 181-214, February.
  22. Jeffrey A. Miron, 2003. "The Effect of Drug Prohibition on Drug Prices: Evidence from the Markets for Cocaine and Heroin," NBER Working Papers 9689, National Bureau of Economic Research, Inc.
  23. Beck, T.H.L. & Clarke, G. & Groff, A. & Keefer , P. & Walsh, P., 2001. "New tools in comparative political economy: The database of political institutions," Open Access publications from Tilburg University, Tilburg University urn:nbn:nl:ui:12-3125517, Tilburg University.
  24. Levine, Ross & Renelt, David, 1992. "A Sensitivity Analysis of Cross-Country Growth Regressions," American Economic Review, American Economic Association, American Economic Association, vol. 82(4), pages 942-63, September.
  25. Akee, Randall K. Q. & Basu, Arnab K. & Chau, Nancy & Khamis, Melanie, 2010. "Ethnic Fragmentation, Conflict, Displaced Persons and Human Trafficking: An Empirical Analysis," IZA Discussion Papers 5142, Institute for the Study of Labor (IZA).
  26. Danailova-Trainor, Gergana & Belser, Patrick, 2006. "Globalization and the illicit market for human trafficking : an empirical analysis of supply and demand," ILO Working Papers, International Labour Organization 395339, International Labour Organization.
  27. Indra de Soysa & Krishna Chaitanya Vadlamannati, 2011. "Does Being Bound Together Suffocate, or Liberate? The Effects of Economic, Social, and Political Globalization on Human Rights, 1981–2005," Kyklos, Wiley Blackwell, Wiley Blackwell, vol. 64(1), pages 20-53, 02.
  28. Friedrich Schneider, 2004. "Shadow Economies around the World: What do we really know?," IAW Discussion Papers, Institut für Angewandte Wirtschaftsforschung (IAW) 16, Institut für Angewandte Wirtschaftsforschung (IAW).
  29. Cho, Seo-Young & Vadlamannati, Krishna Chaitanya, 2012. "Compliance with the Anti-trafficking Protocol," European Journal of Political Economy, Elsevier, Elsevier, vol. 28(2), pages 249-265.
Full references (including those not matched with items on IDEAS)

Citations

Blog mentions

As found by EconAcademics.org, the blog aggregator for Economics research:
  1. Legal prostitution and human trafficking
    by Economic Logician in Economic Logic on 2012-08-08 13:35:00
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Seo-Young Cho, 2012. "Modeling for Determinants of Human Trafficking," Ibero America Institute for Econ. Research (IAI) Discussion Papers, Ibero-America Institute for Economic Research 216, Ibero-America Institute for Economic Research.
  2. Seo-Young Cho, 2012. "Integrating Equality: Globalization, Women's Rights, and Human Trafficking," Economics of Security Working Paper Series 69, DIW Berlin, German Institute for Economic Research.
  3. Caruso, Raul, 2014. "What is the relationship between unemployment and rape? Evidence from a panel of European regions," MPRA Paper 54725, University Library of Munich, Germany.
  4. Seo-Young Cho, 2012. "Human Trafficking, a Shadow of Migration: Evidence from Germany," Discussion Papers of DIW Berlin 1246, DIW Berlin, German Institute for Economic Research.
  5. Diego Hernandez & Alexandra Rudolph, 2011. "Modern Day Slavery: What Drives Human Trafficking in Europe?," Courant Research Centre: Poverty, Equity and Growth - Discussion Papers, Courant Research Centre PEG 97, Courant Research Centre PEG, revised 23 Nov 2011.
  6. Hernandez, Diego & Rudolph, Alexandra, 2011. "Modern Day Slavery: What Drives Human Trafficking in Europe?," Proceedings of the German Development Economics Conference, Berlin 2011, Verein für Socialpolitik, Research Committee Development Economics 83, Verein für Socialpolitik, Research Committee Development Economics.
  7. Niklas Potrafke, 2014. "The Evidence on Globalization," CESifo Working Paper Series 4708, CESifo Group Munich.
  8. Seo-Young Cho, 2013. "Liberal Coercion? - Prostitution, Human Trafficking and Policy," MAGKS Papers on Economics, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung) 201344, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
  9. Niklas Potrafke, 2013. "Policies against Human Trafficking: The Role of Religion and Political Institutions," CESifo Working Paper Series 4278, CESifo Group Munich.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:got:gotcrc:096. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dominik Noe).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.