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Outside the Box: 11 things fans of the sharing economy get wrong

Technology and innovation are seen as the key drivers of growth and employment. One much-cited example is the “sharing economy.” But supporters are wrong when they contend it is likely to create a new culture of micro-entrepreneurs that will revolutionize the economy.

The sharing economy, led by Uber and Airbnb, relies on providing the same services as traditional providers, but at a cheaper price and more conveniently. It may also expand the market for these services, primarily by lowering the cost. One way costs are cut is by avoiding existing regulations and structures, such as licensing requirements for service providers, training and accreditation of staff and insurance.

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