IDEAS home Printed from https://ideas.repec.org/p/net/wpaper/1816.html
   My bibliography  Save this paper

The Impact of Uber and Lyft on Taxi Service Quality: Evidence from New York City

Author

Listed:
  • Mishal Ahmed

    (School of Economics, Georgia Institute of Technology, 221 Bobby Dodd Way, Atlanta, GA 30313, USA)

  • Erik Johnson

    (University of Alabama, Culverhouse College of Business, Department of Economics, Finance and Legal Studies, Tuscaloosa, AL 35487, USA)

  • Byung-Cheol Kim

    (University of Alabama, Culverhouse College of Business, Department of Economics, Finance and Legal Studies, Tuscaloosa, AL 35487, USA)

Abstract

Using detailed trip-level taxi and for-hire-vehicle data and new incident-level complaints data, we study how the entry of Uber and Lyft has affected the quality of taxi services in New York City. In a panel setting with 263 NYC taxi-zones over the time period from 2014 to 2017, we find that increased competition measured by the number of daily Uber/Lyft trips in a given taxi-zone has led to more complaints regarding a variety of service quality dimensions such as unsafe driving, rude behavior and fare refusal. Our results are robust to accounting for potential simultaneity in the determination of complaints and Uber and Lyft penetration.

Suggested Citation

  • Mishal Ahmed & Erik Johnson & Byung-Cheol Kim, 2018. "The Impact of Uber and Lyft on Taxi Service Quality: Evidence from New York City," Working Papers 18-16, NET Institute.
    • Handle: RePEc:net:wpaper:1816
    as

    Download full text from publisher

    File URL: http://www.netinst.org/Kim_18-16.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Timothy J. Bartik, 1991. "Who Benefits from State and Local Economic Development Policies?," Books from Upjohn Press, W.E. Upjohn Institute for Employment Research, number wbsle, August.
    2. Michael Mazzeo, 2003. "Competition and Service Quality in the U.S. Airline Industry," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 22(4), pages 275-296, June.
    3. Astrid A. Dick, 2007. "Market Size, Service Quality, and Competition in Banking," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 39(1), pages 49-81, February.
    4. Hall, Jonathan D. & Palsson, Craig & Price, Joseph, 2018. "Is Uber a substitute or complement for public transit?," Journal of Urban Economics, Elsevier, vol. 108(C), pages 36-50.
    5. Jonathan V. Hall & Alan B. Krueger, 2018. "An Analysis of the Labor Market for Uber’s Driver-Partners in the United States," ILR Review, Cornell University, ILR School, vol. 71(3), pages 705-732, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Xiao Lin & Zhengfeng Huang & Yun Ye & Jingxin Dong & Hongxiang Feng & Pengjun Zheng, 2023. "Effects of Aging on Taxi Service Performance: A Comparative Study Based on Different Age Groups," Sustainability, MDPI, vol. 15(22), pages 1-20, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. A. Yeşim Orhun & Sriram Venkataraman & Pradeep K. Chintagunta, 2016. "Impact of Competition on Product Decisions: Movie Choices of Exhibitors," Marketing Science, INFORMS, vol. 35(1), pages 73-92, January.
    2. Brekke, Kurt R. & Siciliani, Luigi & Straume, Odd Rune, 2010. "Price and quality in spatial competition," Regional Science and Urban Economics, Elsevier, vol. 40(6), pages 471-480, November.
    3. Prateek Bansal & Akanksha Sinha & Rubal Dua & Ricardo Daziano, 2019. "Eliciting Preferences of Ridehailing Users and Drivers: Evidence from the United States," Papers 1904.06695, arXiv.org.
    4. Young, Mischa & Farber, Steven, 2019. "The Who, Why, and When of Uber and other Ride-hailing Trips: An Examination of a Large Sample Household Travel Survey," OSF Preprints x7ryj, Center for Open Science.
    5. Young, Mischa & Farber, Steven, 2019. "The who, why, and when of Uber and other ride-hailing trips: An examination of a large sample household travel survey," Transportation Research Part A: Policy and Practice, Elsevier, vol. 119(C), pages 383-392.
    6. Leah Platt Boustan & Matthew E. Kahn & Paul W. Rhode, 2012. "Moving to Higher Ground: Migration Response to Natural Disasters in the Early Twentieth Century," American Economic Review, American Economic Association, vol. 102(3), pages 238-244, May.
    7. Crown, Daniel & Faggian, Alessandra & Corcoran, Jonathan, 2020. "Foreign-Born graduates and innovation: Evidence from an Australian skilled visa program✰,✰✰,★,★★," Research Policy, Elsevier, vol. 49(9).
    8. Colas, Mark & Saulnier, Emmett, 2023. "Vertical migration externalities," Regional Science and Urban Economics, Elsevier, vol. 101(C).
    9. Matias Busso & Patrick Kline, 2008. "Do Local Economic Development Programs Work? Evidence from the Federal Empowerment Zone Program," Cowles Foundation Discussion Papers 1639, Cowles Foundation for Research in Economics, Yale University.
    10. Fang, Mingyue & Nie, Huihua & Shen, Xinyi, 2023. "Can enterprise digitization improve ESG performance?," Economic Modelling, Elsevier, vol. 118(C).
    11. Timothy J. Bartik & Nathan Sotherland, 2019. "Local Job Multipliers in the United States: Variation with Local Characteristics and with High-Tech Shocks," Upjohn Working Papers 19-301, W.E. Upjohn Institute for Employment Research.
    12. Eleftheria Kontou & Noreen McDonald, 2021. "Associating ridesourcing with road safety outcomes: Insights from Austin, Texas," PLOS ONE, Public Library of Science, vol. 16(3), pages 1-18, March.
    13. Peydró, José-Luis & Jiménez, Gabriel & Kenan, Huremovic & Moral-Benito, Enrique & Vega-Redondo, Fernando, 2020. "Production and financial networks in interplay: Crisis evidence from supplier-customer and credit registers," CEPR Discussion Papers 15277, C.E.P.R. Discussion Papers.
    14. Michael J. Hicks, 2006. "Transportation and infrastructure, retail clustering, and local public finance: evidence from Wal-Mart's expansion," Regional Economic Development, Federal Reserve Bank of St. Louis, issue Oct, pages 100-114.
    15. Lídia Farré & Francesco Fasani & Hannes Mueller, 2018. "Feeling useless: the effect of unemployment on mental health in the Great Recession," IZA Journal of Labor Economics, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 7(1), pages 1-34, December.
    16. Amuedo-Dorantes, Catalina & Arenas-Arroyo, Esther & Sevilla, Almudena, 2018. "Immigration enforcement and economic resources of children with likely unauthorized parents," Journal of Public Economics, Elsevier, vol. 158(C), pages 63-78.
    17. Miquel-Àngel Garcia-López & Ilias Pasidis & Elisabet Viladecans-Marsal, 2022. "Congestion in highways when tolls and railroads matter: evidence from European cities [The congestion relief benefit of public transit: evidence from Rome]," Journal of Economic Geography, Oxford University Press, vol. 22(5), pages 931-960.
    18. Joyendu Bhadury & Samuel P. Troy, 2014. "Staid," Economic Development Quarterly, , vol. 28(4), pages 364-376, November.
    19. Nicholas Kacher & Luke Petach, 2021. "Boon or Burden? Evaluating the Competing Effects of House-Price Shocks on Regional Entrepreneurship," Economic Development Quarterly, , vol. 35(4), pages 287-304, November.
    20. Teresa Garcia-Milà & Therese J. McGuire, 2001. "Tax incentives and the city," Economics Working Papers 631, Department of Economics and Business, Universitat Pompeu Fabra, revised Dec 2001.

    More about this item

    Keywords

    ride-sharing applications; taxi; competition; service quality;
    All these keywords.

    JEL classification:

    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • L91 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Transportation: General
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R4 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:net:wpaper:1816. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Nicholas Economides (email available below). General contact details of provider: http://www.NETinst.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.