Do Digital Platforms Reduce Moral Hazard? The Case of Uber and Taxis

Meng Liu, Erik Brynjolfsson, Jason Dowlatabadi

Digital platforms like Uber can enhance market transparency and mitigate moral hazard via ratings of buyers and sellers, real-time monitoring, and low-cost complaint channels. We compare driver choices at Uber with taxis by matching trips so they are subject to the same optimal route. We also study drivers who switch from taxis to Uber. We find: (1) drivers in taxis detour about 7% on airport routes, with non-local passengers experiencing longer detours; (2) these detours lead to longer travel times; and (3) drivers on the Uber platform are more likely to detour on airport routes with high surge pricing

MoreLess

Year of publication:	September 2018
Authors:	Liu, Meng
Other Persons:	Brynjolfsson, Erik (contributor) ; Dowlatabadi, Jason (contributor)
Institutions:	National Bureau of Economic Research (contributor)
Publisher:	2018: Cambridge, Mass : National Bureau of Economic Research
Subject:	Digitale Plattform \| Digital platform \| Moral Hazard \| Moral hazard \| Taxigewerbe \| Taxi industry \| Share Economy \| Sharing economy \| Transparenz \| Transparency \| Markt \| Market

freely available

Full text |

More access options

doi.org

Check Google Scholar

In German libraries (KVK)

I need help

Which error do you want to report?

Report: URL of this record is broken

Please note: Sometimes more than one URL is available for a resource. Please click on "More Options" to display these URLs

Report: Addition of an URL to that resource

Please note: Sometimes more than one URL is available for a resource. Please click on "More Options" to display these URLs

Report: The language(s) of that resource is/are…

Please note: Required language not in the list? Please use comment field

Report: Addition of an identifier to that resource

Report: report typo

Report: Add statement

Report: Add keywords

Please use the commentary box to describe other errors

Would you like to receive a feedback?

Commentary

Please type the code from the image

For general questions please use this address.

Persistent link: https://www.econbiz.de/10012480668