Contracting for sex in the Pacific War

John Ramseyer

International Review of Law and Economics, 2021, vol. 65, issue C

Abstract: The protracted political dispute between South Korea and Japan over the wartime brothels called “comfort stations” obscures the contractual dynamics involved. These dynamics reflected the straightforward logic of the “credible commitments” so basic to elementary game theory. The brothel owners and potential prostitutes faced a problem: the brothel needed credibly to commit to a contractual structure (i) generous enough to offset the dangers and reputational damage to the prostitute that the job entailed, while (ii) giving the prostitute an incentive to exert effort while working at a harsh job in an unobservable environment.

Keywords: Prostitution; Indentured servitude (search for similar items in EconPapers)
Date: 2021
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Persistent link: https://EconPapers.repec.org/RePEc:eee:irlaec:v:65:y:2021:i:c:s0144818820301848

DOI: 10.1016/j.irle.2020.105971

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