> I'll bet you could set up an actual marketplace with automated matchmaking > it probably wouldn't be as good as Uber/Lyft can make things by forcing "contractors" to take unprofitable rides, though I think it's hard to tell what would happen. There's no reason that we would necessarily expect that uber drivers would not take lower wages for rides if they had to in a market.

It's hard to know whether Uber deflates the price of rides to keep demand high (and thereby steals surprlus from the drivers) or whether they inflate the price of rides to take a larger cut (and thereby steal surplus from riders).

Of course it's also hard to say whether if the price to the consumer went down the drivers would actually make more without Uber if the theoretical drop in price was less than the extra amount drivers get from Uber's previous cut.