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A phony subsidized market does not change the economics of delivery of car services. This is no different than pretending that selling gourmet meals that would cost $300 a person for $100 a person and finding you had a lot of demand at that price had changed the market for gourmet meals. Can Uber produce urban car services more efficiently at sustainably lower cost than traditional operators? Nowhere in Huberts article does he ever mention things like POOL or LINE in ways that these ridesharing apps bring efficiencies that taxi companies could not bring that to me is a big oversight as those services can significantly bringing down costs for passengers while keeping a driver earnings constant. There is a potential path to efficiencies driven by marketplace technology compared to taxi companies. Ubers App Is Not a Powerful Technological Breakthrough could taxi companies ever had the ability to create routes that optimized filling a car up to its capacity while balancing a passengers tolerance for time spent in the car?This is not just a simple dispatch system where you could gasp call a taxi service and get a car. Nowhere do you mention the utility % if a driver can jump on the system and make $20 25/hr during peak hours because he or she always has a passenger in the car is that preferable than driving 60 65 hrs a week to make $15 17 where half the time no one is in your car?Also what is the appealing earning rate for drivers to drive?Who are they competing for drivers?Look at the quick service restaurant industry where employee churn rates are at 150% and they make minimum wage. I doubt most Uber drivers want to make a career out of it which does seem to be the case for taxi drivers so if drivers make more than $10/hr in net earnings what will they prefer?So if efficiency goes up through better tech to match supply and demand which brings down costs for customer who obviously want the service hence the new market thing increasing overall demand, while maintaining earnings for a driver that is on par or even more than working at McDonalds with the added bonus you can work on your own hours vs. shifts is there a future where this is not subsidized?I would question your claim that you are only interested in improving urban mobility and reducing dependence on personal car ownership. Either of those goals involves questions of price economics. You either have to find a way for private sector entities to provide service at sustainably lower cost than anyone can today, or find a way for taxpayers to increase subsidies to public transit. You appear fixated on a fantasy world where questions of cost and price can be ignored. I wrote a six part series carefully laying out the economic evidence showing that Uber prices and service levels were not sustainable because Uber had much higher costs that Yellow Cab. You ignore all that evidence because in your fantasy world things like costs and profitability do not matter, but the enthusiasm of Venice Beach kids who like to party on Saturday night is all the evidence you need. Further evidence of your willful disregard of factual evidence 1 Uber model is working in cities that dont typically offer taxi services None of these cities exist. There are plenty of smaller cities that have some taxi service but no Uber service; there are absolutely no cities that have Uber but no taxis 2 The Certify data you cited directly refutes your expanded urban car service claimit says all the increased Uber ridership exactly offset declines in taxi ridership. I directly addressed the false claim about Uber in part three of the series. Uber will have zero impact on car ownership unless it can produce taxi service at costs dramatically and sustainably lower than the costs of both transit services and car ownership, and be able to provide the same near instantaneous service availability of car ownership. It is impossible for Uber to better match supply and demand. Uber is not scheduling drivers and ordering them to particular locations. Drivers show up when they see fit and often are using multiple ride sharing services. Hubert discussed this at length. It cannot solve the empty backhaul from airports problem, and other backhauls people at rush hour leaving urban centers and going to suburbs/exurbs. It cannot use pricing to shift demand as airlines and rail companies do. And like a traditional yellow cab company, it has to have drivers running around in empty cars so as to offer the fast response times that Uber users like. It has no magic crystal ball for knowing when riders will want a ride or where they will be when they want it. The article explains that actual Uber driver earnings are only about half the levels cited by Uber, those actual earnings are no better than traditional taxi drivers earnings, and its impossible to actually make a living as an Uber driver unless you work ridiculous hours and get a lot of surge pricing benefits i.

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