Thursday, January 9, 2020

The United States And The Sharing Economy - 2694 Words

The United States has serious labor market challenges as a result of rising wage inequality between people and the slow middle class wage growth. The need to provide individuals with variety of goods, service and information raise specific economic phenomena called â€Å"sharing economy†. This model of economy includes different types of industry categories: sharing information (YouTube), property (Airbnb), transportation (Uber) and more. The sharing economy works in the same way as a traditional market, where individuals exchange different goods and service. The central concept of sharing economy (collaborative consumption) is the access to the goods. The application of regulation is the major issue with this type of innovated economy. The sharing economy is a nontraditional, because the workers’ luck of benefits and the type of economical market system that creates an income and job opportunity. On the other hand this type of market provides a different type of benefi ts as: flexible schedule and employment; saving energy and less waste; self regulation; lower costs of the product. The context is of a great interest since participation in sharing communities and services is characterized by obligation to do good for other people and for the environment, such as sharing, and engaging in sustainable behavior (Prothero et al, 2011). The challenge of any market includes and market of sharing economy is to ensure the supply and demand. Specifically for the sharing market is the wayShow MoreRelatedDisadvantages Of The Middleman Economy1221 Words   |  5 PagesMichael Munger, the director of the Philosophy, Politics, and Economics at Duke University, constructs two fundamental arguments discussing the Middleman Economy and the Sharing Economy. However, to understand Munger’s arguments we must first define transactions costs. 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