Wow this is bleak. The supply of rideshare cars is clearly eclipsing the demand here, yet it doesn't seem like these workers have any other jobs they can do either.
And yet it’s common knowledge in the Bay Area that SFO rideshare costs are surprisingly high. It seems like an outcome inconsistent with high supply of drivers and the ability to use two competing, basically commodified services.
I don’t necessarily suspect direct collusion to fix prices, but I do suspect there is some kind of duopolistic optimum where both apply similar price discrimination tactics without competing too hard on price.
I don’t necessarily suspect direct collusion to fix prices, but I do suspect there is some kind of duopolistic optimum where both apply similar price discrimination tactics without competing too hard on price.