Gig Economy

• What is one microeconomic impact of flexible work hours for individuals in the gig economy?

  It increases worker flexibility.
• How do lower costs for businesses manifest in the gig economy?

  Businesses can save on benefits and other fixed costs associated with full-time employees.
• What effect does the gig economy have on competition among workers?

  It can intensify competition as workers from various geographical regions can offer their services.
• What is a significant insecurity faced by gig workers?

  They often lack job security and benefits associated with traditional employment.
• How does the gig economy increase consumer choice?

  It offers an increased variety of services provided by gig workers.
• What is one macroeconomic impact of the gig economy related to unemployment rates?

  It can potentially lower unemployment rates.
• How might the gig economy impact wage growth?

  It could put downward pressure on wages, particularly in industries with a high concentration of gig workers.
• What challenge do governments face regarding tax collection from gig workers?

  They may find it harder to collect taxes due to the informal nature of many gig economy jobs.
• In what way can the gig economy boost economic activity?

  By facilitating transactions that may not have otherwise taken place.
• What potential change in labour market dynamics could result from the rise of the gig economy?

  It may lead to greater income inequality.