Presumably the subsidized rides are a boon to the hospitality industry as well.
At whose expense? Investors and drivers? Not a very good deal if you ask me. I am grateful to use Uber occasionally and the price is not too bad but I always tip the drivers because I know they're getting the short end of the stick. Occasionally for me is about twice a month which amounts to maybe 24-30 times a year.
I'm not defending uber at all - just saying that in my experience, people were more willing to go to bars/restaurants after cheap rides became available.
Interesting thought, maybe government funded taxis might be good overall, it could run at a loss, funded by taxes, pay riders real wages like other transportation with overall economic gains.
and as an optimization they might make taxis bigger, able to take more passengers, maybe even set some regular permanent popular routes