Amazon's Dominance: Fueling Online Price Inflation

Amazon's Dominance: Fueling Online Price Inflation
Amazon's Dominance: Fueling Online Price Inflation

Amazon's Impact on Online Price Inflation

Dana Mattioli's "The Everything War" examines Amazon's role in driving up online prices.

Key Findings:

  • Amazon's dominance (approximately 40% of online retail) has enabled it to raise prices.
  • Sellers pay significant fees to Amazon (nearly 50% of revenue), which are passed on to consumers.
  • Amazon allegedly used an algorithm ("Project Nessie") to identify and increase prices for specific products.
  • Amazon requires sellers to list their lowest prices on the platform, potentially leading to higher prices across the market.


  • Amazon's pricing power has raised concerns about its impact on competition and consumer choice.
  • The Federal Trade Commission has filed an antitrust lawsuit against Amazon, alleging p

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