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What’s going to happen to gig wages when the economy hits a recession?
by brohoolio 8y ago
What’s going to happen to gig wages when the economy hits a recession?
- abvdasker 8y agoIf there is anything beautiful about Uber it's that the marketplace maintained in each city is a relatively pure expression of supply and demand. A recession in which unemployment rates increase would probably lead to an increase in drivers (supply) from the displaced employees and a decrease in people with disposable income to take Ubers (demand) leading to a reduction in cost per ride and the associated driver wages (unit price). Given the sheer number of countries Uber operates in, the company has probably already seen this happen more than once. What happens to driver wages and Uber as a company in the event of a global recession is harder to predict since that would be unprecedented for the company. Maybe having Uber available as a source of income during a recession would be a good thing for the recently unemployed?
- downrightmike 8y agoPeople have a tendency to stay home more and "nest" during a recession. Or if they do go out, like in the last recession, people went to the movies. Which is why theaters rebounded in 2009-2010.
- maxxxxx 8y agoThey'll go down or reach zero?
- DrScump 8y agoMore gig workers will be competing for fewer tasks.