Is the Sharing Economy Really Sharing?-An Analysis of Resource Efficiency, Market Structure, and Growth Sustainability

Digital platforms such as Airbnb, Didi, Uber, and Xianyu are often promoted as ways to put unused resources into circulation, promising economic growth alongside environmental benefits. This paper examines those claims by raising three core questions. First, does sharing actually improve resource efficiency once rebound effects, displacement, and wider externalities are considered? Second, how do two-sided platforms deliver increasing returns while at the same time disrupting established sectors like hotels, taxis, and retail? And third, what new sustainability issues emerge when platforms scale up, and what institutions are needed to manage them? Drawing on growth theory, the analysis suggests that platform-driven reallocation can create short-term gains in productivity, while network effects and data-based learning have the potential to sustain longer-term improvements if externalities are properly governed. Evidence from Chinese studies and policy reports illustrates this mixed picture: short-term rentals reduce some hotel demand but may also stimulate additional travel and strain housing; ride-hailing often replaces public transport and raises overall vehicle use unless pooling and electrification are designed in; and secondhand marketplaces reduce new production only when durability and repair standards extend product lifetimes. Since 2016, Chinese regulation has shifted toward growth with compliance, from ride-hailing rules to the 2024 trade-in plan that supports resale and repair ecosystems. The conclusion is conditional: the sharing economy is not inherently sustainable. It becomes sustainable only when platform growth is guided by rules and design choicessuch as data-sharing, carbon-aware mobility planning, right-to-repair standards, circular economy measures, and competition policies that keep markets contestable.