Amazon’s Economic Impact
Case study
Our team leverages an economic framework to estimate the GDP, employment, and compensation impact that Amazon has had on dozens of countries over the past decade+.
Our team leverages an economic framework to estimate the GDP, employment, and compensation impact that Amazon has had on dozens of countries over the past decade+.
Over the past decade+, Amazon has invested significantly in countries around the world, contributing to job creation, GDP growth, increased household wealth, and more.
The company’s spending across areas like infrastructure, technology, and employee compensation leads to direct impact in communities and supports indirect impact along the entire supply chain in which Amazon operates along with induced impact as households spend their wages and compensation back into the economy.
Capturing the complex relationship between spending and economic impact requires a detailed understanding of both company financials and how goods and services are produced and used across geographies and industries.
Amazon values the opportunity to improve communities around the world through its investments and hiring, creating much-needed jobs and raising the global level of economic activity.
Our teams leverage national input-output data and follow the widely adopted RIMS-II framework to calculate “multipliers,” which capture the spillover (indirect and induced) effects of investments made in specific industries. We apply these multipliers to Amazon’s investments in dozens of countries to estimate the total impact Amazon has had on GDP, employment, and compensation.