WSJ – How Estimates of the Gig Economy Went Wrong

https://www.wsj.com/articles/how-estimates-of-the-gig-economy-went-wrong-11546857000?emailToken=f1a8b062fa5921ad6cfd1becef5fb7a9VwgwoVr8PlPRm2UKaK1il6T+1f/yU+5pbU1/47rytjadFx02RUZjC4X4YIIMNSEdhAL84fk8MfcgvLjd/J8y7h1DEcqwt9x2fRIiAoP63Wo%3D&reflink=article_gmail_share

  • Alan Krueger of Princeton University and Lawrence Katz of Harvard sifted through new evidence to explain how a 2015 survey, overestimated how people cobbling together a living from odd jobs, especially via apps like Uber, would upend traditional work arrangements
  • Earlier this decade, researchers said the gig economy was taking over the way people work
  • Labor Department studied the question in detailed research released last summer, concluded the gig economy had scarcely changed the U.S. labor market.
  • the gig economy appeared swollen largely because the labor market earlier this decade was so weak for so long in the aftermath of the recession
    • As the economy returned to normal, they returned to more familiar work arrangements
  • surveys used to measure alternative work arrangements remain riddled with flaws, and the Labor Department does a poor job of accounting for people with multiple jobs.
  • Krueger and Katz now conclude there was a modest rise in the share of the workforce in nontraditional jobs over the last decade—probably on the order of one to 2 percentage points, instead of the five percentage point rise we originally reported.”

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s