Amazon Has Become A Macro Phenomenon

Summary

Has Amazon become so big that it is starting to affect how the US economy behaves?

The evidence is somewhat mixed, Amazon probably exerts downward pressure on prices, but not on wages.At least, not yet, because we are likely to be close to an inflection point where the automation of the whole logistical trajectory is going to get automated.That will likely have a much more profound effect on employment and wages.One of the riddles that is even vexing the Fed is why wages aren’t rising faster, given that the unemployment rate is already at, or even below what many […]

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