Alex Tabarrok explores the world of egg donation, which is heavily regulated by the Society for Assisted Reproductive Technology (SART) and the American Society for Reproductive Medicine (ASRM). The two organizations effectively limit egg donor compensation to $5,000-$10,000, acting as a "buyer's cartel," in Tabarrok's words:
In 2011, Lindsay Kamakahi launched a class action suit against ASRM-SART challenging their horizontal price-fixing agreement as per se illegal under the Sherman Antitrust Act. ASRM-SART tried to have the case dismissed but a judge recently denied the dismissal in the process making it clear that the plaintiffs have a good case.
ASRM-SART argue that their maximum price is really about protecting women and that compensation “should not be so excessive as to constitute undue inducement.” Egg donation does involve extensive screening, time and some health risks. One would think, however, that the proper response for those interested in protecting women would be to ensure that the women are fully informed and that they are paid high wages not low wages.