Friday, September 23, 2016

Supply and demand in action in the migrant-trafficking industry

TOPICS: Supply and Demand
SUMMARY: In Bulgaria beefed-up border controls aimed at reducing the illegal smuggling of people into Europe have brought new risks, scaring part-time amateurs out of a business they once dominated and turning trafficking over to a monopoly of professional smugglers.
CLASSROOM APPLICATION: Students can evaluate the effect of police crackdown of human smuggling on the supply of smuggling services. They can also evaluate the types of smugglers who exit the industry and the types who remain as a result of the crackdown.
QUESTIONS: 
1. (Advanced) What is the effect of Bulgaria's stepped up efforts aimed at reducing illegal migration on the supply of those willing to traffic people? What is the effect on the price of smuggling?

2. (Advanced) What is the effect of the crackdown on the types of smugglers who exit the industry and the types who remain?

3. (Introductory) Why does the shift to using pricier cars to traffic humans make police work more dangerous?
Reviewed By: James Dearden, Lehigh University

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