Is The Amazon Economic Model Destroying The Fabric Of Our Society? Avoiding Failure #230.

Amazon And The Tech World Are Fundamentally Changing How We Operate As A Society.

Depending on what edge of the financial spectrum you fall on. It could have great benefits or substantial cost. We see it all over the major cities along the West Coast. As software companies take over an area. Housing cost become astronomically high. And as mid range jobs can no longer afford to keep up with the pricing increases, homeless rates rise. And only the top earners can afford to live in the area. Yet even they still work hard for mediocre dwellings.

Amazon has created this microcosm of economics. Where they have employees earning top 1% wages. While other employees barely scrape by at near poverty wages in dystopic work environments. All the while trying to cohabitate in the same living quarters.

Trade Borders.

Years ago economics were controlled by trade borders. A shoe was manufactured in another country. Those workers were paid a living wage for their general economic output for that locale. Prices were low because cost of living was drastically lower then that of the consumer nations. Phil Knight the president of Nike once said he’d love to pay third world employees better but it would wreck havoc on the local economy.

Yet here we are trying too make it all work in tiny cities. Where a few blocks can mean the difference between million dollar earners to those living in tents. If you’re part of the software side you earn well if you’re part of the distribution side you’re living close to poverty. All so we can get everything delivered for free.

Which is another economical disaster waiting to happen. Amazon has to be taking a loss in delivery cost. All in order to stomp out competition. Competition that might be paying their employees appropriately and not exploiting workers that simply need a job to live. They also stomp out competition within their product selection and create algorithms to drive sales to amazon only products.

Are Our Taxes Subsidizing Free Delivery?

Amazon pays nearly zero corporate taxes. Tax payers foot the bill to have this economical hurricane come to gentrify their city. Only to find out later it throws everything out of whack. But hey, people have jobs right? Even if its soul crushing and barely earning a living wage.

That being said, Amazon is a great tool and the benefits are plenty. And if you can get on the high side of the industry. Use you mind rather then your body. We also just need to make sure we don’t give them all the keys to the castle.