The Business of Slavery Explained: Part 1

Human trafficking or modern day slavery is a lot of things- a worldwide problem, a human rights crisis, a progressive cause- but at it's core, it is a business.  Traffickers enslave people to make money.  And while there are causal factors like poverty and inequality, and while we can throw around fancy terms like "supply chain economics" and "reverse demand curves", she shouldn't lose sight of the fact that slavery, like all other industries, operates as a profit-motivated.  If you want more details, Siddharth Kara has written an excellent book about this subject, and Echidne of the Snakes did a recent post on this topic, which is long but informative.  To help explain the sometimes complex business of modern slavery, here is one example.

The Business of Slavery In Commercial Sex: Part 1

Often, trafficking of women and children into commercial sex begins with criminal entrepreneurs.  For example, let's say Joe is a criminal who robs convenience and liquor stores in Atlanta.  Joe has been looking for ways to make more money, and has heard from his criminal friend Ted that there's a lot of money to be made as a pimp.  So Joe decides to go into the pimping business.  Like anyone starting up a new business, Joe first needs a product to sell, which in this case is a woman.  Joe decides to use the woman he has easiest access to, and tells his girlfriend Jane she needs to start making money for them through prostitution and he will beat her or her child is she doesn't.

Next, Joe needs customers to buy the product (his girlfriend).  To attract customers, he needs a marketing strategy, so Joe makes Jane go to the prostitution strip in Atlanta every night and he puts an ad on Craigslist.com.  Pretty soon, Jane is making about $300 a night and giving all of it to Joe.

Joe is in business, but like most business men, he wants to expand and grow his business to make more money.  Joe knows he can do this through adding new products (women to sell) and by reaching more customers (men who buy sex).

Ted tells Joe there are even more men wanting to buy sex in Las Vegas than Atlanta, so Joe and Jane move to Las Vegas.  While Jane works, Joe visits bus stops, malls and schools looking for younger and more diverse girls to sell as products.  He meets Tonya, 15, and Michelle, 19, and convinces each of them to become his "girlfriend".  Then Joe forces them into prostitution as well.

Since there are more men travelling to Las Vegas to buy sex than Atlanta, each of Joe's products (women and girls) is bringing in three times the amount of money, up to $1000 per night.  The women work 6 nights a week, so Joe's average monthly income is $72,000.  The rent and food costs he pay total $4000 a month, making him a profit of $68,000 per month.

If there were no men buying commercial sex in Las Vegas, would Joe have moved there and enslaved two more women?

Two quick disclaimers: First, I am an abolitionist, not an economist. Second, I know this is an oversimplification, but this is a blog.  For a longer and more detailed account, buy Kara's book.