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A note on the impact of Uber on Brazilian taxi drivers' earnings

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  • Oliveira, Cristiano Aguiar de
  • Machado, Gabriel Costeira

Abstract

This article assesses the impact of Uber arrival on the hourly earnings of Brazilian taxi drivers. Microdata information from a national survey is used to build a longitudinal database that allows the estimation of these impacts through models in generalized differences in differences and in triple differences. The arrival of Uber is assessed in three moments: the arrival of Uber Black in the cities of São Paulo, Rio de Janeiro, and Belo Horizonte, the beginning of Uber X services in these cities plus Brasília and Porto Alegre, and the arrival of Uber Black together with Uber X services in Goiânia, Recife, Curitiba, Salvador, and Fortaleza. The results indicate that Uber Black and Uber X’s services did not have a significant impact on the hourly earnings of taxi drivers in Brazil when at most six months after it started is considered. The article provides some explanations for these results, but, concludes that this evidence supports the idea that Uber, in short run, has spread the market to new consumers.

Suggested Citation

  • Oliveira, Cristiano Aguiar de & Machado, Gabriel Costeira, 2021. "A note on the impact of Uber on Brazilian taxi drivers' earnings," Revista Brasileira de Economia - RBE, EPGE Brazilian School of Economics and Finance - FGV EPGE (Brazil), vol. 75(3), December.
    • Handle: RePEc:fgv:epgrbe:v:75:y:2021:i:3:a:79939
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    References listed on IDEAS

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    1. Hung-Hao Chang, 2017. "The Economic Effects Of Uber On Taxi Drivers In Taiwan," Journal of Competition Law and Economics, Oxford University Press, vol. 13(3), pages 475-500.
    2. David H. Autor, 2003. "Outsourcing at Will: The Contribution of Unjust Dismissal Doctrine to the Growth of Employment Outsourcing," Journal of Labor Economics, University of Chicago Press, vol. 21(1), pages 1-42, January.
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