Mechanism of Functioning and Prospects of Gig Economy Development. Part 2

The article is the second part of a study published earlier in the journal. Despite the abundance of studies on the gig economy, the majority of these studies are based on the experiences of individual countries, which makes it challenging to develop a comprehensive understanding of the unique characteristics of the emerging economy of new labor relations. Given that current theoretical research on the gig economy lags behind practice, there is an urgent need to expand understanding of its nature and develop constructive recommendations for effectively taking advantage of opportunities arising in the labor market. The paper identifies the specifics of functioning and development prospects of the gig economy based on the content and characteristics of the part-time economy. Its structural elements are defined. The article summarizes theoretical and practical approaches to the issue of emergence and development of the economy of new forms of employment. It specifies the participants of the gig economy and defines the peculiarities of its functioning process. Platform companies, which act as integrators of market relationships, receive special attention in this paper. Platform companies fulfill their commitments based on algorithmic management in five key stages: trust, compliance, control, stimulation and feedback. It is noted that algorithmic management allows influencing the behavior of gig workers and has functions that allow implementing an effective mechanism of interaction between subjects of socio-economic relations. The conclusion outlines the results obtained and possible directions for future research in the gig economy. The findings of the research into the economics of new labor relations presented in this article are both of theoretical and practical significance. They can therefore be regarded as a reference point for the further development and implementation of promising mechanisms for the growth of the gig economy in the longer term.

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