

Why You Can’t Find a Taxi in the Rain [pdf] - denzil_correa
http://www.sole-jole.org/farber_rees.pdf

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denzil_correa
Link to the full paper -
[http://dataspace.princeton.edu/jspui/bitstream/88435/dsp01fx...](http://dataspace.princeton.edu/jspui/bitstream/88435/dsp01fx719p70r/3/583.pdf)

TL;DR version of the paper - [http://qz.com/283886/this-is-why-ubers-surge-
pricing-works-i...](http://qz.com/283886/this-is-why-ubers-surge-pricing-
works-if-the-company-isnt-lying-to-you/)

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ggchappell
This is interesting stuff. I think a paragraph near the end of your second
link is noteworthy:

> But pressure on the company—it is dogged by accusations that its dynamic
> pricing can bleed into straight greed—has seen Uber strike deals to limit
> surge pricing during emergencies.

Spin is everything here. They could just as well have said, "Uber takes steps
to limit ride availability in emergencies." That doesn't sound so good.

Ah, but the research suggests that, in this case, a very limited price
increase can have large effects on supply. If that is correct, and if Uber
plays their cards very carefully, then they should be able to have their cake
and eat it, too: ensure ride availability during emergencies, while capping
surge pricing.

Ain't mathematics (and economics) wonderful?

P.S. Thanks for the additional links.

