Treating Car-Hire Services as Public Goods

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5 Responses

  1. Brett Bellmore says:

    “Drivers who hold medallions could become a classic cartel.”

    “Could”? Seriously, only “could”? Its just a *potential* problem?

  2. Andrew says:

    What do you call a law-breaking tax-evading offshore private corporation valued over $18 billions that was
    caught (and admitted) to artificially manipulating its prices, making false calls/reservations to its competitors,
    hiring paid actors to appear in its name in town hall meetings all across USA, meeting other ride-sharing
    players to “create a unified strategy” toward insurance fraud that they commit??
    Well.. a normal ethical person would call it – A CARTEL.
    Here is an Uber for you then. A real cartel. Because that description above fits uber perfectly.

    To the author – you don’t see an elephant in the room, yet – you manage to call thousand of small taxicab businesses that
    obey laws, that pay all local taxes, and serve local communities where we ourselves live – a “cartel”.
    Shame that reporters and bloggers these days believe any type of most primitive propaganda and lies
    brought to you by multi-billion dollar uber-fraud.
    And by-the-way, we offer same and better apps. So why promote offshore tax -evading one? Use our apps – we
    support local tech startups and cooperate with them. Next time – please take a look Beyond the cheap uber-propaganda.

  3. Brett Bellmore says:

    “you manage to call thousand of small taxicab businesses ”

    A “cartel” is, BY DEFINTION, a GROUP of businesses combining to restrict competition. One company can not, by itself, be a “cartel”.

    The medalion based taxi companies? Yup, they’re a “cartel”, meet the definition perfectly.

  4. PaulGodsmark says:

    Although fascinating to watch how the shared economy is clashing headlong with the existing taxi regulations, this situation can only continue for a few more short years. Right now the taxi business model is readily discernible from that of car rental, car share, ride share and P2P business models. But from around 2017, when Google aspire to have their fully self-driving vehicles (SDV) technology in public hands then we will see a paradigm shift that will rapidly sweep the taxi regulations aside.

    All of the taxi, car rental, car share, ride share and P2P companies will find that their business models benefit from using SDVs – and in fact they will lose out to any competitors that deploy SDVs before them. But once they start using SDVs then their business models all begin to look almost identical – automated taxis on demand. So if taxi regulations are still in place, how do they prevent me from ordering a car rental car to deliver itself to my hotel? If a regular taxi won’t stop for me, then I use my car share app and the car drives itself to me.

    There can only be one ending to these taxi regulation battles – and we either embrace the shared economy to help transition to SDVs, or we wait for technology to sweep taxi regulations aside.

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