3 ms·

I'm not sure how your conclusion follows. Uber drivers and warehouse workers are unlikely to undergo this effect because no matter how good an Uber driver is, t

I'm not sure how your conclusion follows. Uber drivers and warehouse workers are unlikely to undergo this effect because no matter how good an Uber driver is, they can't be in multiple places at once. Similarly, there's a limit to how much one warehouse worker can do.

macspoofing 8y ago
Kid of. You'll still see a small minority of Uber drivers making money and a large percentage breaking even or losing money. It's like that in the real-estate market, where a small minority of agents take in most of the profit and a large number breaking even or losing money. This is also why you see trade groups frequently supporting policies to increase barriers for market entry. In real-estate this means higher and higher licensing standards. For example in Canada it costs around $6k and 3 years to get fully licensed [1].. which is crazy. But the real-estate lobby wants it even higher. [1]https://www.remic.ca/real-estate-sales-person-vs-mortgage-agent/ https://www.remic.ca/real-estate-sales-person-vs-mortgage-ag...
- varjag 8y ago
  Real estate is infrequent high value transactions with high margin/commission. Doubling your real estate sales can well make you rich; doubling your Uber driving would not.
  - macspoofing 8y ago
    No doubt there are differences between the markets but at a high-level similar forces act on both. That is, in both cases, the vast majority of participants either break-even or lose money. A small minority makes money (and therefore takes in most of the profit to be had). The uber market, because it centralized and has an impartial dispatcher (i.e. Uber corporate), that market will probably be more egalitarian. Overall though, the same dynamics play out. For real-estate, some numbers that I saw had 51% of licensed real-estate agents making one or zero transaction in the past year.

3 ms·

I'm not sure how your conclusion follows. Uber drivers and warehouse workers are unlikely to undergo this effect because no matter how good an Uber driver is, t

by projektir 8y ago

macspoofing 8y ago
Kid of. You'll still see a small minority of Uber drivers making money and a large percentage breaking even or losing money. It's like that in the real-estate market, where a small minority of agents take in most of the profit and a large number breaking even or losing money. This is also why you see trade groups frequently supporting policies to increase barriers for market entry. In real-estate this means higher and higher licensing standards. For example in Canada it costs around $6k and 3 years to get fully licensed [1].. which is crazy. But the real-estate lobby wants it even higher. [1]https://www.remic.ca/real-estate-sales-person-vs-mortgage-agent/ https://www.remic.ca/real-estate-sales-person-vs-mortgage-ag...
- varjag 8y ago
  Real estate is infrequent high value transactions with high margin/commission. Doubling your real estate sales can well make you rich; doubling your Uber driving would not.
  - macspoofing 8y ago
    No doubt there are differences between the markets but at a high-level similar forces act on both. That is, in both cases, the vast majority of participants either break-even or lose money. A small minority makes money (and therefore takes in most of the profit to be had). The uber market, because it centralized and has an impartial dispatcher (i.e. Uber corporate), that market will probably be more egalitarian. Overall though, the same dynamics play out. For real-estate, some numbers that I saw had 51% of licensed real-estate agents making one or zero transaction in the past year.