4 ms·

$94 11 minute Uber rides... This is why regulation of industry is not always an attempt to hold back the unbridled forces of "progress."

jowiar 13y ago
The goal of regulation is to discourage traffic jams, fights, and the like on the side of the street caused by negotiation over price. With Uber you have the opportunity to see the price before pressing the button. Ideally, there are multiple Uber-like systems which will hold prices down, with a Kayak-like service to choose between them.
- wavefunction 13y ago
  I thought it was to protect the consumer from things like... "price gouging." I agree with your "ideal" situation being ideal, though I guess I expect that service pricing will be "protected business data."
  - jowiar 13y ago
    There's nothing wrong with charging high prices for things that are in high demand and low supply. That's what encourages more suppliers to enter the market. There are two major situations that regulation needs to protect consumers from - asymmetric information and monopolies. Taxis are a major example of the former - that negotiating on the street would create traffic problems, and getting into the cab, then negotiating would create a major imbalance of power in the negotiation. An example of the latter would be if Uber was the only player in the transportation market (market share > some large %) and could charge what they want, and then said something like "the only way to book one of our vehicles is through our app, and you cannot build a system which lets you book either an Uber vehicle or non-Uber vehicle."
johngalt 13y ago
If one party is willing to buy and the other willing to sell, where is the issue? If you want regulated rates, wait for a cab. Intentionally using a premium service then demanding price controls makes you sound like the old man complaining that Starbucks coffee should cost a nickel.
- atwebb 13y ago
  When will Uber cease to be a start up or a premium service or some other classification of company that allows them to skirt the laws that their direct competitors have to abide by? A large part of the argument isn't whether or not the gouging is acceptable, it's that Uber/Lyft/new ride app is allowed to loophole itself into "current market rates".
- sneak 13y ago
  Nice username + comment pairing.

jowiar 13y ago

The goal of regulation is to discourage traffic jams, fights, and the like on the side of the street caused by negotiation over price. With Uber you have the opportunity to see the price before pressing the button. Ideally, there are multiple Uber-like systems which will hold prices down, with a Kayak-like service to choose between them.

wavefunction 13y ago
I thought it was to protect the consumer from things like... "price gouging." I agree with your "ideal" situation being ideal, though I guess I expect that service pricing will be "protected business data."
- jowiar 13y ago
  There's nothing wrong with charging high prices for things that are in high demand and low supply. That's what encourages more suppliers to enter the market. There are two major situations that regulation needs to protect consumers from - asymmetric information and monopolies. Taxis are a major example of the former - that negotiating on the street would create traffic problems, and getting into the cab, then negotiating would create a major imbalance of power in the negotiation. An example of the latter would be if Uber was the only player in the transportation market (market share > some large %) and could charge what they want, and then said something like "the only way to book one of our vehicles is through our app, and you cannot build a system which lets you book either an Uber vehicle or non-Uber vehicle."

johngalt 13y ago

If one party is willing to buy and the other willing to sell, where is the issue? If you want regulated rates, wait for a cab. Intentionally using a premium service then demanding price controls makes you sound like the old man complaining that Starbucks coffee should cost a nickel.

atwebb 13y ago
When will Uber cease to be a start up or a premium service or some other classification of company that allows them to skirt the laws that their direct competitors have to abide by? A large part of the argument isn't whether or not the gouging is acceptable, it's that Uber/Lyft/new ride app is allowed to loophole itself into "current market rates".
sneak 13y ago
Nice username + comment pairing.