Hacker News Reader

Comment by zeroxfe | Hacker News Reader

What I don't understand is why the free market doesn't correct for this. If Uber drivers make less than what they need, they'd stop driving for Uber, causing some kind of price correction, no?

(BTW, I'm no fan of Uber, but I don't understand how Uber is to blame here.)

View on HN

Uber doesn't offer a job, they are considered a contactors. As a contractor you can't collect unemployment, you don't get minimum wage and you're responsible for collecting your own taxes. It's not much different than MLM schemes they offer the world, but in the end most false promises.

Uber is clearly the best option these people believe they have.

Knowledge is not perfect, and efficiency is not instant.

because there is very little wage competition below minimum wage.

Yes, I agree, and I see that these cases are clearly outliers -- nevertheless, it doesn't seem reasonable to blame Uber for this.

They're exploiting loopholes(and that's a generous stretch) in employment laws.

I agree that this is not Uber's fault. I was only tackling the "why the free market doesn't correct" aspect.

On that point: The free market is not obligated to correct for the lack of demand for humans.

The argument they're making is at one point the drivers were making more money and could afford to buy a new vehicle or whatever. Then because of fare reductions and therefore reductions in pay they're now saddled with debt and can't afford housing.

that sounds like 80% of the population, not only Uber drivers

Why do you think the "free market" would correct for "what they need"? The free market doesn't care about what anyone needs.

the market isn't free. Uber and Lyft are basically the only game in town for below minimum wage.

Uber isn't the one to blame here. The whole story is ridiculous.

Reply on news.ycombinator.com