Abstract
ABSTRACT We document how prostitution markets reacted to the Covid-19 induced lockdown mid-March 2020, based on unique data for the Netherlands and Belgium. Anecdotal evidence indicates that a general glut occurred. Data about who exited from the market indeed reveal a severe downturn. We also show a significant substitution toward less visible forms of sex work after the lockdown too. Furthermore, in the Netherlands compliance was more swift and thorough than in Belgium. For those who kept supplying sexual services, fixed effects hedonic regressions provide evidence that sex workers invested more time per transaction, but this did not translate in a higher income. Existing wage penalties for vulnerable age groups and ethnic minorities stayed in place, but were not exacerbated by the lockdown.
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