Abstract:
Over the past decade, e-commerce platforms have emerged as key drivers of economic transformation, reshaping local labour markets. This study examines the impact of Amazon's expansion in Italy through the establishment of Fulfillment Centers (FCs) and Delivery Stations (DSs) on municipal-level wages, employment and income distribution. Using administrative tax data for 2013-2023 and a staggered difference-in-differences design, we find that Amazon's entry reduces per capita wages, particularly following the opening of DSs in urban municipalities. FCs also increase the number of low-income earners while reducing high-income earners, contributing to income polarisation.