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by lkbm 4204 days ago
> I'm divided on surge pricing, but I definitely see no reason for surge pricing on "predictable" events, such as Friday night. Even for "unpredictable" events, such as rain or even a hockey game, I think it would be better if people would be able to hail taxis on the street, or on a first-come-first-serve basis. On the other hand, I realize that surge pricing can increase supply, but the very existence of surge pricing can also lead to market manipulation - suppliers waiting until surge pricing is in effect, so that they get a higher fare. In effect, (if I understand correctly) since surge pricing is not momentary (when it starts, it doesn't end until sometime later), Uber is creating a free market distortion itself.

My biggest concern with surge pricing is the apparent lack of transparency. According to my friends who use Uber, the app will give the estimated cost that doesn't account for (at least not fully) the surge pricing--to the extent of an estimate $15 fare actually being over $90.

If people know before they make the request/get in the car, there are still issues of what they thought was a viable option for getting home suddenly turns out not to be, but without surge pricing to boost supply, it may well not be anyway in such situations, so, like you, I'm divided.