Benefits of legalizing prostitution

Recently there was a news article that a proposal was to be put before the Supreme Court Panel for legalization of prostitution. This has sparked a debate on legalization of the trade. Around 50 countries such as Austria, Belgium, Denmark, France, Germany, Greece have legalized prostitution and about 11 countries such as Australia, Iceland and India have limited legality.

In this article we will discuss the benefits of legalizing prostitution:

1. Reduction in Human Trafficking: Contrary to popular belief, legalizing prostitution may reduce human trafficking and forcing of women into the trade. I will try to explain this with the help of economics. Criminalization of prostitution will reduce voluntary prostitution due to risk of conviction. This risk is also for the trafficker but less harsher, as in case of a prosecution it is the victim who bears the criminal penalty but the trafficker bears only an income loss. Criminalization of prostitution will therefore reduce voluntary prostitution which will in turn put an upward pressure on price thus incentivizing the trafficker. Therefore, instead of reducing human trafficking, criminalization will tend to increase it[i]. Further, as prostitution is criminalized, the prostitutes and Johns will not tend to report human trafficking fearing prosecution.

New Zealand decriminalized prostitution in 2003 passing the Prostitution Reform Act. One of the important evidence of benefit of the reforms was no increase in the number of people entering sex work and enforcement of laws against underage prostitution[ii].

2. Improving Working Conditions of Women: Legalizing prostitution would improve the working conditions of commercial sex workers, primarily by way of:

a. Medical Facilities and reduction in STDs: Programmes could be implemented for medical facilities and STD control. As per a study conducted in Australia, prevalence of sexually transmitted sexual infections was 80 times greater in illegal street prostitutes as compared to their legal brothel counterparts[iii]. Legal commercial sex workers encourage condom usage and / or access screening services both of which reduce STDs.

b. Reduction in Violence: Legalized bordellos generally offer a safer working environment for commercial sex workers as compared to their illegal counterparts. Being legal, seeking police assistance is possible which reduces violent work environments[iv]. Legalization also increases public scrutiny of the bordellos thereby improving the working conditions and reducing violence.

3. Tax Collection: Legalizing prostitution can covert the underground economy into a mainstream one. The bordellos can be taxed for revenue. It is estimated that prostitution in India generates about US$ 343 bn[v] on a yearly basis (~Rs. 21-lakh crores). This would amount to about US$ 145.3 bn of tax revenue (US$ 103 bn of Income Tax and US$ 42.4 bn of service tax) ie. Rs. 8,71,769 crores, higher than the fiscal deficit of India.

4. Reduction in incidences of crimes against women: Empirical studies have shown that legalization of prostitution tends to reduces instances of crimes against women such as rapes. Linda M. Rio Reichmann in her article, Psychological and Sociological Research and the Decriminalization or Legalization of Prostitution,mentioned that a ‘A study conducted in Queensland show[ed] a 149% increase in the rate of rape when legal brothels were closed in 1959, while other offenses against the person by males increased only 49%.’ A similar result was found in a study for Rhode Island in the paper titled, Decriminalizing Indoor Prostitution: Implications for Sexual Violence and Public Health.

5. Allows commercial sex workers to integrate into the society: Legalizing prostitution will allow commercial sex workers to integrate into the society and lead a dignified life. This will also improve their quality of living.

6. Access to Capital: Legalizing prostitution will improve bordello organization and QoS. Access to capital would be possible by way of loans and public markets. Planet Platinum Limited (formerly known as The Daily Planet Limited) is a listed entity in Australia which owns the building leased to the bordello, The Daily Planet.

Do feel free to comment on the article if you have any concerns with the same. Your concerns will be appropriately responded / updated.

[i]http://web-docs.stern.nyu.edu/old_web/economics/docs/workingpapers/2012/

NEWLeePersson_HumanTraffickingandRegulatingProstitution.pdf

[ii] http://www.gaatw.org/publications/MovingBeyond_SupplyandDemand_

GAATW2011.pdf , Page 44.

[iii]http://myweb.dal.ca/mgoodyea/files/Prostitution,%20public%20health,%20and%20human

%20rights%20law%20Loff%20Lancet%202000%20356%201764.pdf

[iv] http://esplerp.org/wp-content/uploads/2012/08/Violence-and-

Legalized-Brothel-Prostitution-in-Nevada.pdf

[v] http://globalmarch.org/images/Economic-Behind-Forced-

Labour-Trafficking.pdf , pg. 21