Public transport exist, and for people that actually need a car on a daily basis, cars exist.

Taxis are luxury service and not subsidized ( as that word is defined in the dictionary) by money offsets. We can derail this into whether medallions/insurance regulation should be there, but the hard cold argument here is : Money. Lots and lots of money.

Uber/luft are subsidized by hard cash just to exist.

I drive, so from the outside, this looks as if somebody was subsidizing Android watches, because they'll overtake real watches.

It's a business gamble, but many are mistakenly taking it as a fact.

So, correspondingly, expect either prices to keep rising on Uber/luft/etc, or them to go out of business.

Is there a particular reason you are restricting scope to only the US? Taxis and "ride sharing" organizations are an international phenomenon: I'd say the majority of jurisdictions do not have medallions. And the upstream point remains - most taxis can now be hailed via mobile apps.