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So here’s a confession. My trip with a Reed economics class to Union Jacks this past weekend was actually my first time in a Portland strip club. And because it was my first time, I was taken aback by a couple things: So much money! So casually exchanged! It’s strange that the likely millions of dollars passing through Portland’s strip clubs are not counted as part of the “real” economy by either the city or traditional economists. Though Portland has 49 strip clubs within its boundaries (according to industry mag Exotic), the city does not factor their business into Portland’s economy at all. Despite having business licenses and W-2 forms, they’re part of the informal sector like Craigslist.

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One thing the stripper economics teacher said keeps bothering me: “While the industry is heavily regulated about what size of pasties and G-string you can wear, most states [don’t have] many regulations about how dancers can be paid or treated.”

What if Portland included strip clubs in its general economic analysis of the city? I think it’s strange that such a prevalent and lucrative part of our city’s industry is a big black hole when it comes to actually evaluating its impact. How many Portlanders have jobs in strip clubs? How much money do they bring into the city? Do they cost the city anything in terms of social services or heightened police action? These are worthwhile questions that no one is answering, I think in a large part because it’s hard to separate out the economic discussion around strip clubs from a social and moral one.

I don’t know how the city would do this, because other states’ attempts to keep track of strip clubs financially have been driven by morals, not economic curiosity. In Texas, a $5-per-customer strip club tax goes into a fund for rape victims. Las Vegas pursued a strip club tax with the justification that they were a burden on police.

Sarah Shay Mirk reported on transportation, sex and gender issues, and politics at the Mercury from 2008-2013. They have gone on to make many things, including countless comics and several books.

7 replies on “Thoughts on Stripper Economics”

  1. Well, note that all employees of strip clubs ARE tracked and included in economic analysis. They still get W-2s and pay taxes. That is – bartenders, owners, bouncers, DJs, etc. It’s only the strippers themselves who are exlucded, as they are independant contractors.

    And since even the strippers have to file taxes, aren’t they included, at least by the amount they choose to report? I’m sure that figure is wrong, but it probably accounts for *most* of what they earn.

  2. Waiters are kind of similar. They have to report x percent of whatever sales they make, but how many report their actual tips to the dollar? I would bet that there are a lot more unaccounted for dollars going to tips in restaurants than there are to strippers. Also, it seems reasonable assumptions can be made. There are only 49 strip clubs. Figure out an average per night per stripper, the average number of strippers per night, and there you go. Seems like a pretty easy calculation.

    By the way, one would expect better pics with this kind of story….

  3. Now you know why I think this subject is fascinating. After years of speaking to girls, owners, and security personnel, it only gets more interesting.

  4. Maybe this article should have included how a stripper makes money. Strippers do not get paid and hourly wage, nor a wage for preforming. They work for TIPS ONLY. They also have to “tip out” the doorman, the DJ, and the bartenders. They also have to pay a “stage fee”. So basically, just for showing up to dance they are about $20-40 dollars in the hole, which they have to make back $1 at a time. On a weekday/weeknight a stripper can go home empty-handed, and on a weekend night they can make a fair amount. Very few strippers are getting rich dancing, but the club owners sure are.

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