[Script Info]
Title: 
[Events]
Format: Layer, Start, End, Style, Name, MarginL, MarginR, MarginV, Effect, Text
Dialogue: 0,0:00:01.94,0:00:03.64,Default,,0000,0000,0000,,♪ [music] ♪
Dialogue: 0,0:00:13.80,0:00:15.81,Default,,0000,0000,0000,,- [Tyler] This is a pretty \Ntragic topic,
Dialogue: 0,0:00:15.81,0:00:17.80,Default,,0000,0000,0000,,and in some ways, \Nit's tough to talk about,
Dialogue: 0,0:00:17.80,0:00:19.55,Default,,0000,0000,0000,,but let's give it a try.
Dialogue: 0,0:00:19.55,0:00:21.35,Default,,0000,0000,0000,,Let's keep in mind\Nthat in the modern world,
Dialogue: 0,0:00:21.35,0:00:23.46,Default,,0000,0000,0000,,there still really is \Na lot of slavery
Dialogue: 0,0:00:23.73,0:00:26.37,Default,,0000,0000,0000,,and many people are \Nrightfully outraged by this.
Dialogue: 0,0:00:26.98,0:00:29.05,Default,,0000,0000,0000,,But the question is \Nwhat to do about it?
Dialogue: 0,0:00:29.05,0:00:32.62,Default,,0000,0000,0000,,So in the 1990s, there were \Nhumanitarian reformers,
Dialogue: 0,0:00:32.62,0:00:35.30,Default,,0000,0000,0000,,and they went to Sudan, \Nand their plan was
Dialogue: 0,0:00:35.30,0:00:37.88,Default,,0000,0000,0000,,to buy slaves and set them free.
Dialogue: 0,0:00:38.03,0:00:39.40,Default,,0000,0000,0000,,Now that sounds great.\N
Dialogue: 0,0:00:39.43,0:00:41.78,Default,,0000,0000,0000,,What could be better\Nthan setting free slaves?
Dialogue: 0,0:00:41.78,0:00:43.44,Default,,0000,0000,0000,,That sounds pretty noble,
Dialogue: 0,0:00:43.44,0:00:45.97,Default,,0000,0000,0000,,but did it actually help\Nstamp out slavery,
Dialogue: 0,0:00:46.11,0:00:48.96,Default,,0000,0000,0000,,or did paying slaveholders \Nto release these slaves
Dialogue: 0,0:00:48.96,0:00:51.88,Default,,0000,0000,0000,,lead to more people being captured?
Dialogue: 0,0:00:52.13,0:00:54.29,Default,,0000,0000,0000,,Let's use the economic concept
Dialogue: 0,0:00:54.29,0:00:58.26,Default,,0000,0000,0000,,of the elasticity of supply \Nto help understand this better.
Dialogue: 0,0:00:58.47,0:01:01.70,Default,,0000,0000,0000,,The problem is this, \Nthe people trying to free the slaves --\N
Dialogue: 0,0:01:01.70,0:01:03.78,Default,,0000,0000,0000,,we'll call them the slave redeemers --
Dialogue: 0,0:01:03.86,0:01:06.71,Default,,0000,0000,0000,,they're also creating\Nadditional demand for slaves.
Dialogue: 0,0:01:06.71,0:01:09.97,Default,,0000,0000,0000,,After all, they're buying slaves \Nin the market.
Dialogue: 0,0:01:09.98,0:01:13.86,Default,,0000,0000,0000,,That additional demand shifts \Nout the demand curve for slaves,
Dialogue: 0,0:01:13.86,0:01:16.64,Default,,0000,0000,0000,,and it leads to a new\Nand higher market price.
Dialogue: 0,0:01:16.82,0:01:20.96,Default,,0000,0000,0000,,That higher price will bring \Nforth additional supply.
Dialogue: 0,0:01:21.25,0:01:23.52,Default,,0000,0000,0000,,So what are the people who \Nround up and kidnap the slaves --
Dialogue: 0,0:01:23.52,0:01:25.06,Default,,0000,0000,0000,,what are they going to do?
Dialogue: 0,0:01:25.06,0:01:27.31,Default,,0000,0000,0000,,Well, they're going \Nto increase their operations.
Dialogue: 0,0:01:27.40,0:01:29.13,Default,,0000,0000,0000,,They're going to have more raids,
Dialogue: 0,0:01:29.13,0:01:31.80,Default,,0000,0000,0000,,and they're going to take \Nmore people into slavery.
Dialogue: 0,0:01:32.54,0:01:36.33,Default,,0000,0000,0000,,We can already see there's \Nat least a possibility that buying
Dialogue: 0,0:01:36.33,0:01:39.37,Default,,0000,0000,0000,,the slaves and setting them free \Nwill be counterproductive
Dialogue: 0,0:01:39.37,0:01:42.12,Default,,0000,0000,0000,,because we haven't managed \Nto stamp out all of slavery.
Dialogue: 0,0:01:42.12,0:01:44.61,Default,,0000,0000,0000,,What we've done is set \Nsome people free
Dialogue: 0,0:01:44.61,0:01:47.58,Default,,0000,0000,0000,,but actually give those kidnappers, \Nthose people in the middle --
Dialogue: 0,0:01:47.58,0:01:51.68,Default,,0000,0000,0000,,we've increased their incentives \Nto bring more people into slavery.
Dialogue: 0,0:01:51.83,0:01:55.60,Default,,0000,0000,0000,,And therein lies the potential\Nfor an even greater tragedy.
Dialogue: 0,0:01:55.80,0:01:59.22,Default,,0000,0000,0000,,The concept of elasticity \Nin economic terms -- that refers
Dialogue: 0,0:01:59.22,0:02:03.85,Default,,0000,0000,0000,,to how responsive is quantity \Nsupplied when market price changes.
Dialogue: 0,0:02:03.98,0:02:07.70,Default,,0000,0000,0000,,It's going to help us understand \Nhow much a slave redemption program
Dialogue: 0,0:02:07.70,0:02:10.04,Default,,0000,0000,0000,,will increase the number of people
Dialogue: 0,0:02:10.04,0:02:12.07,Default,,0000,0000,0000,,who end up captured \Nby slave raiders.
Dialogue: 0,0:02:12.07,0:02:15.07,Default,,0000,0000,0000,,Inelastic supply means that even \Na much higher price
Dialogue: 0,0:02:15.07,0:02:18.72,Default,,0000,0000,0000,,doesn't result in a much \Nlarger quantity supplied.
Dialogue: 0,0:02:18.85,0:02:22.14,Default,,0000,0000,0000,,In that case, even if the price \Nof slaves went up by a lot,
Dialogue: 0,0:02:22.14,0:02:24.92,Default,,0000,0000,0000,,not that many additional\Npeople would be captured.
Dialogue: 0,0:02:25.05,0:02:26.92,Default,,0000,0000,0000,,That's the better case scenario.
Dialogue: 0,0:02:27.42,0:02:30.54,Default,,0000,0000,0000,,It also means the price \Nof slaves will go up and stay high
Dialogue: 0,0:02:30.54,0:02:33.54,Default,,0000,0000,0000,,because the off-setting \Nsupply response is weak,
Dialogue: 0,0:02:33.54,0:02:36.32,Default,,0000,0000,0000,,and it's not pushing \Nthat market price back down again.
Dialogue: 0,0:02:36.48,0:02:38.82,Default,,0000,0000,0000,,Again, that's \Nthe better case scenario.
Dialogue: 0,0:02:38.83,0:02:41.73,Default,,0000,0000,0000,,It means that in the long run, \Nthe redeemers are doing more
Dialogue: 0,0:02:41.73,0:02:43.100,Default,,0000,0000,0000,,to limit slavery \Nthan to encourage it.
Dialogue: 0,0:02:44.54,0:02:48.09,Default,,0000,0000,0000,,But, however, let's say \Nthe supply curve is more elastic --
Dialogue: 0,0:02:48.09,0:02:51.67,Default,,0000,0000,0000,,that means a flatter curve,\Nand it means the quantity supplied
Dialogue: 0,0:02:51.67,0:02:54.87,Default,,0000,0000,0000,,to the market will increase a lot \Nwith the higher price.
Dialogue: 0,0:02:54.92,0:02:59.22,Default,,0000,0000,0000,,In that case, it's easier to find\Nmore people to enslave.
Dialogue: 0,0:02:59.60,0:03:02.09,Default,,0000,0000,0000,,Then as a result \Nof the boost in demand
Dialogue: 0,0:03:02.09,0:03:05.24,Default,,0000,0000,0000,,from the humanitarian redeemers,\Na lot more people will
Dialogue: 0,0:03:05.24,0:03:07.39,Default,,0000,0000,0000,,end up captured and enslaved.
Dialogue: 0,0:03:07.47,0:03:10.66,Default,,0000,0000,0000,,And then, the total number \Nof people captured as slaves
Dialogue: 0,0:03:10.66,0:03:12.28,Default,,0000,0000,0000,,is going up quite a bit.
Dialogue: 0,0:03:12.52,0:03:14.71,Default,,0000,0000,0000,,And you have to wonder \Nin that case are
Dialogue: 0,0:03:14.71,0:03:17.92,Default,,0000,0000,0000,,these slave redemption programs \Nreally a good idea?
Dialogue: 0,0:03:19.36,0:03:21.12,Default,,0000,0000,0000,,So what's the answer?
Dialogue: 0,0:03:21.16,0:03:24.71,Default,,0000,0000,0000,,It's genuinely hard to say \Nwhether the supply of slaves
Dialogue: 0,0:03:24.71,0:03:28.77,Default,,0000,0000,0000,,is elastic or inelastic, \Nbut we can look at price
Dialogue: 0,0:03:28.77,0:03:32.92,Default,,0000,0000,0000,,as a possible indicator of which \Nscenario is more likely to hold.
Dialogue: 0,0:03:33.07,0:03:35.71,Default,,0000,0000,0000,,We know that in the early years \Nof slave redemption,
Dialogue: 0,0:03:35.71,0:03:38.64,Default,,0000,0000,0000,,there was a noticeable increase\Nin the price of slaves,
Dialogue: 0,0:03:38.64,0:03:42.54,Default,,0000,0000,0000,,and that could be evidenced \Nof a fairly inelastic supply curve.
Dialogue: 0,0:03:42.90,0:03:46.84,Default,,0000,0000,0000,,However, over time, \Nthe price of slaves has fallen,
Dialogue: 0,0:03:46.89,0:03:51.38,Default,,0000,0000,0000,,and that could indicate greater \Nelasticity of supply in the longer run.
Dialogue: 0,0:03:52.04,0:03:54.35,Default,,0000,0000,0000,,That makes sense, \Nbut the suppliers are usually
Dialogue: 0,0:03:54.35,0:03:56.91,Default,,0000,0000,0000,,more responsive \Nto an increase in price
Dialogue: 0,0:03:56.91,0:03:59.20,Default,,0000,0000,0000,,as they have more time to adjust.
Dialogue: 0,0:03:59.20,0:04:01.14,Default,,0000,0000,0000,,For instance, they can \Nhire more people
Dialogue: 0,0:04:01.14,0:04:02.82,Default,,0000,0000,0000,,and expand their operations.
Dialogue: 0,0:04:03.31,0:04:07.56,Default,,0000,0000,0000,,So this evidence overall suggests \Nthat perhaps the program has
Dialogue: 0,0:04:07.56,0:04:11.53,Default,,0000,0000,0000,,become less effective over time,\Nand perhaps today, it may actually
Dialogue: 0,0:04:11.53,0:04:15.30,Default,,0000,0000,0000,,be counterproductive and be \Nincreasing the burden of slavery.
Dialogue: 0,0:04:15.70,0:04:19.39,Default,,0000,0000,0000,,In other words, good intentions \Naren't always enough.
Dialogue: 0,0:04:19.39,0:04:23.35,Default,,0000,0000,0000,,If someone comes along and puts \Nan apparently good idea on the table,
Dialogue: 0,0:04:23.35,0:04:27.16,Default,,0000,0000,0000,,we still need to think through\Nits unintended consequences.
Dialogue: 0,0:04:28.87,0:04:32.26,Default,,0000,0000,0000,,- [Narrator] If you want to test \Nyourself, click "Practice questions."
Dialogue: 0,0:04:32.81,0:04:36.19,Default,,0000,0000,0000,,Or, if you're ready to move on, \Njust click "Next Video."
Dialogue: 0,0:04:36.77,0:04:38.46,Default,,0000,0000,0000,,♪ [music] ♪