Sequoia Warns Founders of ‘Crucible Moment,’ Advises How to ‘Avoid the Death Spiral’

An Amazon warehouse in Staten Island, N.Y. Photo by Bloomberg
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The Other Amazon Antitrust Paradox

Photo: An Amazon warehouse in Staten Island, N.Y. Photo by Bloomberg

Federal Trade Commission chair Lina Khan and other Amazon critics face an inconvenient truth in a Wall Street Journal article today about the impact Amazon is having on the unskilled labor market. Undercutting the lefty dogma that Amazon is bad for labor, the Journal story suggests Amazon is helping drive improvements in wages and benefits for low-skilled workers across the country. That sounds like an outcome progressives should applaud!

The Journal report highlights a contradiction inherent in Khan’s pursuit of Amazon. She and others espouse an antitrust philosophy which argues that instead of only focusing on how a company affects consumers—does it raise prices or not?—we should consider the interests of workers as well as rival companies. Given what we’ve just learned about Amazon’s impact on worker pay, you might expect the FTC to immediately call off all its antitrust investigations of Amazon. 

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