UltronY2021
Member
If true, that's not a sustainable business model long-term. That reputation would spread and they will eventually (probably already) have more leaving than starting.
I considered it at one point, but after doing the math, I determined it wasn't profitable for me, before I even began.
There must be plenty of drivers who are at least breaking even or the business fails. Simple economics.
See: Landlords.
For an exhaustive explanation of this I recommend Capital in the 21st Century, which catalogs a great deal of economic data across over 200 years of economic history and over 20 countries. In Economics terms, companies like Uber are Rentiers, and there is no economic mechanism to limit how much they take from the people. The response (if any) is political, not market.
For a faster way to realize market forces don't produce moral results I direct you to the common belief in Economics that Racism and Sexism reduce the available pool of workers, and are therefore inefficient, and so market forces will naturally remove them. However all data demonstrates market forces in fact reinforce them. In short, if you want moral outcomes, you must intentionally enforce them. The market will not provide them and in many cases will produce immoral outcomes.
And of course I encourage you to look up actual data on Uber drivers. Many are losing money with the average hourly wage after costs in the US just $6/hr. No one can live on that.
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