Is Amazon Really Killing Inflation?
Amazon is operating as a biggest retail is US market. According to the figures presented by Digital Commerce 360, Amazon revenue from US consumers was 30.7% in first quarter of 2021 which was around 21% in 2020. However we can still justify the cause because of COVID-19, which contributed as a surge in online shopping. Although it is a good gesture as consumers spending contributes to the GDP somehow, but it’s being said that consumers spending on Amazon is not enough to trigger the GDP scale upwards. However, it could be in future. Amazon as a Job Provider: Amazon has changed the traditional retail and played as a booster for struggling players by reducing the company’s overhead costs as compare to other retailers, hence undercutting the rivals on prices and operating on little profit margin. Lowering costs would tend to make companies pass on their costs to consumers which would accelerate inflation. Moreover, minimizing costs would limit the ability of ...
