Uber’s Surge Pricing

A new study has revealed that Uber’s new surge pricing isn’t as effective at getting more drivers then everyone thought. And believe it or not, it’s actually pretty easy for customers to avoid it.

So how does it work? Well basically when there is a high demand the price jumps up to encourage more drivers to come to that area. But studies show drivers don’t seem to like it either. Christo Wilson a Northeastern University professor explains, “What happens during a surge is it just kills demand. So the drivers actually drive away from the surge.”

The good news is that it’s easy to avoid, as surge pricing doesn’t last more than ten minutes so you can really just wait it out. For more details be sure to check out the video above.