[peacetreefrog]

This paper:

http://www.nber.org/papers/w23296

Talks about how much of the value to Uber drivers is in that the work is flexible and can be done on their own schedule. More than 2x the producer surplus vs less flexible arraignments. Put another way: if drivers HAD to work at the prevailing wages and didn't have the flexibility, they'd reduce the hours they supply by 2/3.

Looked at the MIT study for a bit and they don't appear to mention this. Obv flexibility is a major component of the economics of driving for Uber and Lyft and the benefits thereto. If they're ignoring this they're missing a big part of the picture.

[giarc]

Could only read the abstract but how many drivers see that as a benefit? I've spoken with many drivers who drive because that's the only work they could get. Sure they are flexible, but only because driving is their only job. They would like to have a full time job but just can't get one.

[peacetreefrog]

Producer surplus by definition is benefit to the drivers. It's the amount actually make minus the minimum amount they'd be willing to take. This paper purports to show how the minimum drivers are willing to accept (their reservation price) changes by the hour. Flexibility -- fact they can choose to work when their reservation price is the lowest, or only lower than what they'd actually make -- is definitely a benefit.

Obviously a driver's alternatives are a big factor in whether/how much to drive, but flexibility might even MORE valuable to drivers who have other jobs, because they can work around it.