It's a bad thing because it creates an unstable market for tickets and results in scalping!
You're blaming the artists, venues and ticket sellers for the scalping. No, blame the goddamn scalpers for being greedy fucks!
Your reasoning seems to be that if they simply sold the tickets at higher prices, there would be no scalpers. If they increased the prices to what the scalpers charge, they wouldn't sell out the venue.
You're really sounding like an economy 101 student right now. Newsflash: Not everything is a classical market. Hell, even Adam Smith realized that not every area is best served by a classical market.
If you want to be pissed off about high ticket prices, blame the artist for having too few performances. They can easily address the supply side of the market by playing more concerts. If a concert with $25 tickets (I just made the number up, I only wish they were that cheap) sells out and results in $250 scalped tickets the fan-savvy solution is to just perform more concerts in a given city.
It's blindingly obvious that you have absolutely no idea how touring schedules, venue booking, staffing, transportation or anything related to these subjects actually works in the real world, outside your economics textbooks.
A touring schedule has to be made in advance to accommodate extra shows, way before the tickets go on sale, you can't just add new dates willy-nilly. And if you put in room for extra shows beforehand, you'll end up with a band just wasting their time for a couple of days to a week between shows.
IMHO, the larger problem here has something to do with the nature of popular musicians (whether it's Metallica or Adele). I don't think many of them think of themselves as performing musicians, but they think of themselves as recording musicians. They don't tour that much, or if they do, their idea of a "World Tour" is 75-odd concerts in 9 months, covering the entire world, after selling 5 million records. If you can sell 5 million records, shouldn't that mean you can sell 5 million tickets at reasonable prices?
It would seem there's a short-term publicity machine at work here, that's as or more focused on short-term popularity rather than long term artistry.
Holy shit, how is it even possible to be this wrong about a subject.
The vast majority of artists make the overwhelming bulk of their income from touring and especially from merch sales at shows, probably 80-90% or more.
Putting out a record generally only makes the record companies money, the artists get a pittance, unless they're gigantic stars with their own lawyers on retainer.
No, I intentionally glossed over it, because arbitrage for iPhones usually only happens for the first 1-2 months the new model is available (in the US) and then shifts to international arbitrage, selling new models where they aren't yet available. And Apple has gotten a lot better at ramping up production to eliminate this.
Apple has been getting better at managing their artificial shortages.