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The problem with most prostitution is that most prostitutes do so to get money the desperately need. It is rare for women to be in such need unless they are alone or alone with children. Those with Children tend to be older and thus poorly paid (and drift out of prostitution for regular employment and/or welfare pays better especially as a woman A"gets" beyond her "prime years" of 16-25). Younger women (19-25) quickly find prostitution also does not pay (Through "Escorts" and other such high end prostitute do get pay well, but these are the exception to the rule). Such younger women find it is better to use they beauty to find regular jobs which pay better.
Most prostitutes, legal and illegal, tend to have serious mental problems, including drug and alcohol addiction. These mental problems prevent them from holding down regular jobs so their drift into prostitution (or if a young run away taken in by a pimp and made into a drug addict and the prostitute). In any event most women do NOT stay in prostitution. Those that are good looking may drift into X-rated movies where they find less risks (Johns can beat prostitutes up, and that was true when prostitution was legal), so can the prostitutes pimps (and that was true even when prostitution was legal).
Prostitution was made illegal in the US as the best way to REGULATE the business. By making it illegal the local police could arrest the prostitute and see if she was being abused by her pimp, kept in the business against her will be her pimp, and to make sure such transaction did NOT interfere with the general business of most cities which was to sell goods. Prostitution with its tendency to drugs and alcohol abuse tended to be in areas where crime occurred on a regular basis. Both Crime and prostitution were tied in with drugs and Alcohol and to control the crime it was found you had to control Drugs and Alcohol and also prostitution. The problem was how do you control prostitution? All forms of control were tried, licensing, restricting where prostitutes could operate, all failed. The reason the attempts to regulate failed was as long as Prostitution was legal, the Police had to prove a violation of the Regulation. No evidence of violation, no conviction, and once you have no conviction to lost control.
On the other hand once you make Prostitution illegal, you can control it by simply arresting the prostitute for accepting cash for sex. You did not have to prove she did not have a license, you did not have to prove she was out of bounds, you did not have to prove she failed to pay a tax on an act that may or may not have occurred. All you had to prove was cash for sex. Thus, except for Nevada, every state ended up making Prostitution illegal (and even Las Vegas and the other big cities of Nevada did the same).
Thus the problem was prostitution connection to drugs and alcohol and the connection between drugs and alcohol and violent crime. The connection between both Crime and prostitution with drug abuse was clear and to regulate all three, all three had to be made illegal (remember prohibition?). After prohibition alcohol was permitted back into society, but till the 1960s as some sort of bastard step child with heavy regulations to make sure the new Bars did NOT become the havens for crime and prostitution the pre-prohibition Saloons were noted for.
Now I must separate prostitution from its near cousin, the X-rated movie and X-rated Books. Unlike prostitution there has been no evidence that the existence of X-rated Movies and books have any affect on people and their attitude to sex (Through there is some evidence that watching TO MUCH can make a person more callous to woman, but the fact most men watch X-rated movies for an average of 9 minutes makes such long exposure to x-rated movies the exception as opposed to the rule). The problem is NOT sex itself, but the connection Prostitution has with drugs, Alcohol and violent crime.
Strip clubs tend to have similar problems, but are generally legal if no alcohol is sold (Or if alcohol is sold has strict regulations on what the women can wear and failure to follow the rules can cut out the bar's liquor license). These heavily regulated sex clubs still tend to be centers of crime, but unless illegal drugs are sold, or sex is sold for drugs cash tend to stay legal (but again the fact that prostitution is illegal permits law enforcement crack down on such places when they get out of hand).
My point is no one has come up with a better way to regulate prostitution other than making it illegal. No one who voted to make prostitution illegal thought that prostitution would be eliminated simply by making it illegal. No, the il-legalization of prostitution was an attempt to control the criminal elements that tend to hang around prostitutes. Prostitutes, even when legal, deal in cash and as such a ready source of cash for other activities, Thus the efforts to control prostitution lead to it becoming illegal more to control prostitution than to ban it.
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