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Automobile Italia / Flickr cc

A year after Uber introduced "upfront pricing"—setting the price of a ride on the outset—it's now beginning to charge more for certain routes in an effort to juice up its earnings, as Bloomberg reported. The company says it uses the extra money to subsidize other rides, and will begin to show drivers the difference between what they're earning and what the rider paid.

It's officially rolling out the changes in the 14 markets where it offers UberPool, its carpooling option.

Old-fashioned economics: What Uber's doing is pure economics—price discrimination to charge riders it describes as time-sensitive (those paying more for a private UberX ride) to subsidize price-sensitive riders (usually those taking the cheaper UberPool option). The former group, according to Uber, is willing to pay more for a particular route at a particular time than it has been paying, so Uber will now charge these riders what it believes is that maximum price. An Uber spokesperson assured Axios that pricing has nothing to do with a rider's perceived level of income, past rides, or any individual characteristics.

Uber's love of classic economic principles is nothing new—"surge pricing," its practice of hiking prices in times of higher demand, is textbook supply-and-demand.

Go deeper

26 mins ago - World

Army to award Purple Hearts to troops injured in Iran missile attack

Damage at Ain al-Asad military airbase housing U.S. and other foreign troops in the western Iraqi province of Anbar in January 2020. Photo: Ayman Henna/AFP via Getty Images

The Army has approved 39 more Purple Hearts for U.S. soldiers wounded in an Iranian military ballistic missile attack on an Iraq base in January 2020, the Army Times first reported Wednesday.

Why it matters: Most of these soldiers sustained brain injuries, per the Army Times. Then-President Trump dismissed their injuries at the time as "headaches" and "not very serious," sparking backlash from some veterans groups.

Scoop: U.S. begins denying Afghan immigrants

Afghan refugees on a bus bound for temporary housing after arriving in Greece. Photo: Byron Smith/Getty Images

The Biden administration has begun issuing denials to Afghans seeking to emigrate to the United States through the humanitarian parole process, after a system that typically processes 2,000 applications annually has been flooded with more than 30,000.

Why it matters: Afghans face steeper odds and longer processes for escaping to the U.S., despite the earlier sweeping efforts by the Biden administration to assist its allies. Immigration lawyers and advocacy groups say the government has set untenable barriers to a safe haven in the U.S.

3 hours ago - Politics & Policy

Dems invoke Robert Byrd to sell Manchin on Senate rules changes

Photo illustration: Shoshana Gordon/Axios. Photos: Diana Walker, Chip Somodevilla/Getty Images

A small group of Senate Democrats is privately invoking the legacy of late West Virginia Sen. Robert Byrd in an effort to sway Sen. Joe Manchin (D-W.Va.) to support their plans to change the chamber's rules, Axios has learned.

Why it matters: Manchin — who holds Byrd's Senate seat — has often referenced his predecessor's strong moral conviction and insistence on preserving the Senate as an institution, as justification for some of his tough positions.