Posts Tagged ‘regulation’

The “Shared” Economy

The phrase, “sharing economy,” when referring to services like Airbnb or Uber, is, of course, camouflage language. “Sharing” is what we urge our children to do with their toys at playtime. If, however, our kids rent their toys out, it is the “getting paid” economy, in the words of San Francisco’s super-pol, Willie Brown. Lyft’s slogan is “Your Friend with a Car,” but my friends don’t charge for a lift. (Using “sharing” to describe, say, free recycling or a co-op housing’s common kitchen, is another matter.)

In some ways, these new “peer-to-peer” purchases are a step back to a more “informal” economy, the economy of guys repairing cars in their front yards, women doing hair-dos in their kitchens, laborers waiting on street corners for construction jobs, workers selling their home-made lunches to fellow employees, and the like. This is work that is unrecorded, untaxed, and unregulated. In developing countries, many, if not most, workers are in the informal economy. The 21st-century American, high-tech versions are certainly recorded in multiple online receipt systems; whether and how much those transactions are taxed is a matter of struggle now in many communities, as is the issue of whether and how much they are regulated. We have been there before.


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