My problem is that Uber has a bunch of venture capital that it can use to entice and entrap vulnerable populations into an exploitative relationship.
It's only "pure capitalism" if one has a shockingly naive view of economics that ignores all of the preconditions that are required for a free market. For example, information symmetry, which is laughably not true given that Uber controls the dispatching with algorithms that are opaque to drivers.
As time approaches infinity, yes, I believe the market will sort out many issues with Uber. In the meantime, I think they have the potential to grind up and spit out many people.
Although I think I am on board with this being a really interesting experiment, even if it might become a morbid fascination it is definitely interesting.
But does lyft have the capacity to take on huge number of uber drivers? Given the gap in revenue numbers it looks unlikely.
If so, then why are they choosing to work for Uber instead of doing whatever they'd be doing if Uber wasn't around? Are you saying that they're stupid or being tricked?
If not, then isn't the world a better place for those people with Uber as an option?
These people would have worked as taxi driver before, often with better compensation and job security.
But as soon as one person offers rates that are cheaper, all of them have to, or they won't get anything.
Uber drives competition between the employees, and as result, they all get less.
Simple economics. And also the reason that only unions and government regulation can ensure acceptable work conditions
Taxi drivers have earn like 30% less relative to before Uber, but there are 10 times more drivers that now earn about the same as the taxi drivers. That's a massive net growth of opportunities to earn money.