Operations Research, Systems Engineering and Industrial Engineering Commons^™

Model And Analysis Of Labor Supply For Ride-Sharing Platforms In The Presence Of Sample Self-Selection And Endogeneity, Hao Sun, Hai Wang, Zhixi Wan

Research Collection School Of Computing and Information Systems

With the popularization of ride-sharing services, drivers working as freelancers on ride-sharing platforms can design their schedules flexibly. They make daily decisions regard- ing whether to participate in work, and if so, how many hours to work. Factors such as hourly income rate affect both the participation decision and working-hour decision, and evaluation of the impacts of hourly income rate on labor supply becomes important. In this paper, we propose an econometric framework with closed-form measures to estimate both the participation elasticity (i.e., extensive margin elasticity) and working-hour elasticity (i.e., intensive margin elasticity) of labor supply. We model the sample …