Oxford Economics analysis shows Amazon fulfillment investments improved U.S. economy

Oxford Economics analysis shows Amazon fulfillment investments improved U.S. economy
Economics
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Amazon has released a new study conducted by Oxford Economics, which indicates that the company's investments in fulfillment centers across 55 U.S. counties have been associated with increased employment, wages, and business growth. The study also suggests these investments have contributed to lower unemployment rates and reduced reliance on public assistance.

According to the 2025 Oxford Economics study, the analysis focused on counties where Amazon created at least 1,000 new jobs within a single year. The research assessed the long-term economic impacts of these large-scale projects on local economies. Findings indicate that Amazon's fulfillment network investments have led to significant improvements in employment, wages, and business growth nationwide.

The study found that new business formation rose by 5% within five years following Amazon's investment in these counties. Average employee earnings increased by 2.6%, while unemployment rates decreased by 0.37 percentage points. Additionally, Oxford Economics reported declines in Medicaid reliance and a 0.45 percentage point increase in labor force participation, suggesting enhanced economic stability in these communities.

Oxford Economics further analyzed the data by excluding counties adjacent to Amazon investment sites to remove spillover effects. This adjusted model revealed even greater economic benefits, including a 7% rise in business establishments and more substantial improvements in wage growth and Medicaid reduction. The organization noted that the primary results might understate the full advantages of Amazon's fulfillment network investments.

Amazon.com Inc., established in 1994 and based in Seattle, Washington, operates one of the world's largest logistics and e-commerce networks. With over one million employees involved in its U.S. fulfillment, delivery, and transportation operations, Amazon continues to invest in workforce development, education, and community support programs aimed at bolstering regional economies across the nation.