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Dynamic Pricing in a Labor Market: Surge Pricing and Flexible Work on the Uber Platform
Abstract
In many markets, new technologies allow traditional jobs to be divided into discrete tasks that are widely distributed across workers and dynamically priced given prevailing supply and demand conditions. This "sharing" or "gig" economy represents a more flexible work system, and is most common in two-sided markets in which a firm acts as a platform to connect service providers and consumers. One prominent example of this is the ride-sharing company Uber, which connects riders and driver-partners, and dynamically prices trips using a system known as "surge" pricing. In this talk, I discuss the practical problems of designing such a dynamic pricing system, how that dynamic pricing coordinates workers who can now earn compensation on a flexible schedule, and more broadly how the "gig" economy is evolving and growing as a form of market organization.
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Citations
Cited by
Introduction—Platforms and Infrastructures in the Digital Age
Constantinides, P., Henfridsson, O., & Parker, G. G. (2018) · Information Systems Research · doi:10.1287/isre.2018.0794 · Cited by 943
The sharing economy and digital platforms: A review and research agenda
Sutherland, W., & Jarrahi, M. H. (2018) · International Journal of Information Management · doi:10.1016/j.ijinfomgt.2018.07.004 · Cited by 725
The ethical debate about the gig economy: A review and critical analysis
Tan, Z. M., Aggarwal, N., Cowls, J., Morley, J., Taddeo, M., & Floridi, L. (2021) · Technology in Society · doi:10.1016/j.techsoc.2021.101594 · Cited by 225
Mapping the Ethicality of Algorithmic Pricing: A Review of Dynamic and Personalized Pricing
Seele, P., Dierksmeier, C., Hofstetter, R., & Schultz, M. D. (2021) · Journal of Business Ethics · doi:10.1007/s10551-019-04371-w · Cited by 196
Rebalancing shared mobility-on-demand systems: A reinforcement learning approach
Wen, J., Zhao, J., & Jaillet, P. (2017) · 2017 IEEE 20th International Conference on Intelligent Transportation Systems (ITSC) · doi:10.1109/itsc.2017.8317908 · Cited by 149
At what price? Labour politics and calculative power struggles in on-demand food delivery
Doorn, N. V. (2020) · Work Organisation, Labour & Globalisation · doi:10.13169/workorgalaboglob.14.1.0136 · Cited by 96
Innovative Online Platforms: Research Opportunities
Chen, Y.-J., Dai, T., Korpeoglu, C. G., Körpeoğlu, E., Sahin, O., Tang, C. S., & Xiao, S. (2018) · doi:10.2139/ssrn.3098921 · Cited by 21
Metadata
- Authors
- Chen, M. K.
- Venue
- Proceedings of the 2016 ACM Conference on Economics and Computation
- Publisher
- ACM
- Published
- 2016-07-21
- Pages
- 455-455
- OpenAlex
- W2487598231
- Cited by
- 255
- References
- 0
- Type
- conference abstract
- Language
- en
- Open access
- closed
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