Question

Happely is a global online marketplace that connects designers with companies who need graphic design work for their projects. Companies often need a custom design that is high quality and don’t want to go to a high-end creative agency to get their needs met. Companies join the platform to hire graphic designers, and graphic designers join the platform to be hired for projects. A company writes a design brief explaining the help that it needs and the specific deliverable needed. Happely provides a search tool to search for designers by their skill sets (e.g., logo design vs. T-shirt design).

Companies like Happely have contributed to the rise of the “gig economy”— an existing market system in which companies hire independent contract workers for short-term projects. To attract business, artists and designers post examples of their work on the platform. Which of the following is an example of an externality relevant to the gig economy?

a. When browsing other artists’ profiles, Angela (another graphic designer) sees Juanita’s designs for socks and misappropriates them for work she is doing on gloves.

b. Due to the rise of popularity for Happely in India, a majority of students at the College of Art in New Delhi start to join the Happely network.

c. Revenue per company increases in the United States over the next year.

d. There is a rise in the number of workers who have sufficient work experience.

Answer 1