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That would be an auction. Now we have a situation where a third party gets between seller and buyer, purchases large quantities of tickets then sells them for an inflated price to the buyer and both buyer and seller feel ripped off.

That's not an auction. It's just entity A selling to entity B and entity B selling to entity C.
Sorry, I should have quoted what I was calling an auction from the comment:

> a mutually agreeable trade that would otherwise have increased the utility of both parties.

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