3 ms·
That's not what rent-seeking means; I am not sure what you are trying to say.
by phonon 8y ago
That's not what rent-seeking means; I am not sure what you are trying to say.
- beaconstudios 8y agoyeah rent-seeking isn't quite the right term, but I'm not sure what is. The companies basically exist as low-touch facilitators that rely on high volumes and low marginal cost. Does that make it clearer? The reason I called them rent-seeking is that (if you remove the vetting aspect, which I believe they have) they don't actually do anything, they just charge a "tax" on top of a service rendered by someone else. If the company only makes, say, $100 per dogwalker on average and background checking costs $50, they'll cut the cost despite the primary use of the platform being to find a trustworthy, pre-vetted dogwalker.
- phonon 8y ago"middlemen"
- beaconstudios 8y agoyeah, I'd go with that. It wasn't coming to me at the time.