New Data Show Economic Loss From Banning Ridesharing
In just a few years, the ridesharing companies Uber and Lyft have become important and cost-saving additions to Americans’ transportation options. Predictions that Uber would become a monopoly have been proven wrong as its main rival Lyft continues growing at an impressive pace.
The latest data show that Lyft completed 19 million rides in January in the United States. Furthermore, Lyft drivers received $1.5 billion in earnings last year. These earnings would have been higher if not for some major U.S. cities that still do not allow ridesharing. This policy decision comes at a cost for the economies of these cities.
Just how much cities are missing out on by prohibiting ridesharing is the subject of a new study released by Lyft and carried out by the Land Econ Group. The study evaluates six cities in New York, Texas, and Missouri that do not have Lyft – Buffalo, Rochester, Austin, Houston, Kansas City, and St. Louis.