CGD in the News

How Germany’s Ban on Uber Hurts the Poor (Bloomberg Businessweek)

September 15, 2014

From the article:

Earlier this month, a court in Frankfurt ruled that the ride-sharing company Uber could not continue to operate in Germany. Uber was found to be in contravention of the country’s Passenger Transport Act, which mandates a permit to transport people commercially. The decision is the first nationwide ban on Uber and a setback to the company’s expansion plans in Europe.

It also points up one of the most insidious ways we perpetuate inequality and keep poor people poor. Too often, governments regulate services and demand expensive qualifications that prevent people from opening up new enterprises and regulate housing so they can’t afford to live where the jobs are. If we want poorer people to get richer, we have to give them a chance. Instead, we’re regulating them out of opportunity.

Read the article here