Lee Branstetter, director of Carnegie Mellon University’s Center for the Future of Work, noted that ride-hailing in general makes it possible for residents and visitors to patronize places they may otherwise forgo.
Most businesses have the ability to accommodate more customers than they currently do with the resources they have, Mr. Branstetter noted.
“If Uber is allowing more people to go more places and spend
more money,” he said, “it’s allowing businesses to generate more output without having to actually purchase an equivalent amount of inputs.”
In other words, with the same setup, a business can make more money if more people are stopping in. That increases gross regional product.