Sticky Norms,Endogenous Preferences,and Shareable Goods

The Internet has reduced the cost of borrowing and lending “shareable goods,” including tools, gear, toys, lodging, and vehicles. Online platforms can better match people with underutilized goods, but it may take time for people to develop sticky norms and endogenous preferences that are conducive to greater peer-to-peer sharing. This study estimates the current and potential value of sharing items across households. Data from the General Social Survey, the website NeighborGoods, and a new survey show that peer-to-peer borrowing is already worth at least $179 a year for 30% of Americans. Spending on shareable goods provides an upper bound on the potential gains from sharing. The consumer expenditure survey reveals that the average household spends $9,090 each year on shareable goods. Private vehicles account for 80% of these expenses, which suggests that the largest opportunities may be in greater car-sharing and ride-sharing.