Question

Which of the following statements accurately describe the Gig Economy?

1. The gig economy primarily benefits employers by offering convenience and on-demand availability of labor.
2. Gig work is characterized by temporary, on-demand labor employed in a task-based or time-based manner.
3. A key benefit of the gig economy is its potential to increase earnings for workers while reducing fixed costs for employers.
4. The gig economy exclusively caters to highly skilled professionals and does not offer opportunities for low-income workers.

• A. 1 only
• B. 1, 4
• C. 2, 3
• D. All

Answer 1

Answer:

C. 2, 3

• The gig economy is a labor market characterized by the prevalence of short-term contracts or freelance work, as opposed to permanent jobs.

• It encompasses a wide range of services, from ride-sharing and food delivery to professional consulting and creative work.

• The underlying economic fundamentals that platform-enabled gig work addresses at scale include enhancing the efficiency of labor and service discovery and fulfillment, aligning economic incentives across employers and workers, catalyzing economic recovery by providing labor on demand, expanding labor participation, and improving overall productivity.

• The ecosystem supporting the gig economy includes platforms, ecosystem enablers, digital public goods, and public policy and regulations.