Increasingly, cost changes for merchandise and an ascent in the consistency of pricing because of the development of online retailers might influence inflation.

"In the previous 10-years, online rivalry has raised both the recurrence of price changes and the level of uniform evaluating crosswise over location," said Alberto Cavallo, a partner educator at Harvard Business School, who examined in what capacity, called multi-channel retailers - those with block and-mortar and online outlets (for example, Walmart, Inc.) have responded to the ascent of Amazon.com" (Dunsmuir, 2016)."Fuel costs, exchange-rate fluctuation, or some other power-influencing costs that may enter the estimating calculations utilized by these organizations are bound to have a quicker and bigger effect on retail costs than previously," he finished up.

Read the following article:

https://www.reuters.com/article/us-usa-fed-inflation/amazon-effect-could-have-impact-on-inflation-dynamics-paper-idUSKCN1LA0IO

• Evaluate the information presented, and conclude whether Amazon.com is causing disinflation or not? Explain your conclusion.
• Make a recommendation on how The Fed should correct this disinflation, if it exists.

Help! I dont understand how to respond. What kind of reccomendation do they want?