Conceptualizing the Gig Economy and Its Regulatory Problems

We conceptualize the gig economy along four dimensions: online intermediation, independent contractors, paid tasks, and personal services. From our framework, one can derive both a narrow definition of the gig economy as ex ante specified, paid tasks carried out by independent contractors mediated by online platforms, and broader definitions that include offline next to online intermediation, employees next to independent contractors, unpaid tasks next to paid tasks, and asset sharing next to performing gigs. The four dimensions also span four key regulatory questions: how should online platforms be classified and regulated, how should gig workers be classified and regulated, what should count as paid and unpaid work, and should we treat earnings from performing gigs different from earnings from sharing assets. We conclude that the positions taken on these regulatory issues are essentially contingent upon political choices, which will determine how the gig economy will evolve in the future.