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Conor Sen

Still Worried About Inflation? Keep an Eye on Amazon

Wage wars could be brewing in the e-commerce world as the nation's second-biggest employer sees higher pay as its next chance to dominate, and perhaps reshape, the marketplace.

The new market competition: keeping your employees happy.

The new market competition: keeping your employees happy.

Patrick T. Fallon/AFP via Getty Images

For the past generation, Amazon.com Inc. has been the centerpiece of a prevailing view that the growth of the internet has had a deflationary impact. Online shopping brought transparency to every aspect of the economy, increasing competition and taking pricing power away from companies that used to have it.

Now Amazon may be leading the marketplace in a new direction with its growing emphasis on employee pay, shifting away from its deflationary role to add some upward pressure on inflation.