Understanding the Sharing Economy

The report examines the drivers of the sharing economy in China, such as economic rebalancing and technological change, and uses case studies to illustrate potential environmental and economic benefits. It highlights how home-sharing in Rio de Janeiro and ride-pooling in New York and China can reduce infrastructure needs and emissions. The document also profiles regulatory approaches in Seoul and Boston and proposes seven guiding principles for smart legislation to balance innovation with public interest.

• The sharing economy in China is experiencing rapid growth, valued at approximately $229 billion in 2015, with a projected annual growth rate of 40% over the following five years. By 2020, it is predicted to represent 10% of China's GDP.
• Home-sharing provides an 'elastic supply' of accommodation that reduces the need for permanent hotel construction during peak demand events. During the 2016 Rio Olympics, Airbnb listings housed 85,000 visitors; providing this capacity through traditional means would have required building 257 average-sized hotels.
• Ride-pooling can significantly decrease urban congestion and pollution. An MIT study of New York taxi data found that 80% of journeys could be shared with minimal disruption, potentially reducing total city trips by 40%. In China, Didi Chuxing's pooling services saved 510 million litres of fuel and 13.55 million tonnes of carbon dioxide in 2015.
• Seoul has implemented a 'Sharing City' model that supports both grassroots community initiatives and global commercial platforms. The city's approach includes an official ordinance on the promotion of sharing, public vetting of 64 organizations and enterprises, and the provision of government facilities for public use.
• Digital platforms in the sharing economy generate high-value data that can improve urban planning. Boston partnered with Uber to use anonymized trip data (including zip codes, distance, and time) to better understand private transport flows and optimize traffic planning to eventually reduce greenhouse gas emissions.
• The report proposes seven guiding principles for regulating the sharing economy: creating space for innovation, being people-centred, taking a proactive approach, assessing the whole regulatory system, utilizing data-driven government, employing flexible governance, and implementing shared regulation.

APA

World Economic Forum (2016). Understanding the Sharing Economy. http://www3.weforum.org/docs/WEF_Understanding_the_Sharing_Economy_report_2016.pdf

Chicago

World Economic Forum. Understanding the Sharing Economy. 2016. http://www3.weforum.org/docs/WEF_Understanding_the_Sharing_Economy_report_2016.pdf.

Wikipedia

{{cite report |author=World Economic Forum |title=Understanding the Sharing Economy |date=December 2016 |url=http://www3.weforum.org/docs/WEF_Understanding_the_Sharing_Economy_report_2016.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldeconomicforum2016understanding, author = {{World Economic Forum}}, title = {{Understanding the Sharing Economy}}, institution = {World Economic Forum}, year = {2016}, month = dec, url = {http://www3.weforum.org/docs/WEF_Understanding_the_Sharing_Economy_report_2016.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }