by Don Boudreaux on April 29, 2017

in Competition, Innovation, Work

I just heard on Washington, DC’s, ESPN 980 radio an ad for a new app called Takl.  This is an app that connects people who need small handyman jobs performed with handymen (and, surely also, handywomen) willing to perform those jobs.  But the ad is not aimed at homeowners to encourage them to use Takl to find handymen; rather, the ad is aimed at workers to encourage them to sign up to get handymen jobs through Takl.  The workers explicitly targeted in the ad are low-skilled.

This innovation – Takl – is yet another instance of the entrepreneurial market process at work.  Specifically, this innovation reduces the information and other transaction costs of workers connecting with employers.

Although even before Takl it was, of course, ridiculous for anyone to allege that employers in the U.S. possess monopsony power in the market for low-skilled workers, the advent of Takl (and no doubt of similar techniques) renders allegations of monopsony power only more absurd.


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