The Costco Effect Highlights How New Costco Stores Transform Local Economies: 'Surrounding Businesses Raise Wages Up To 40% More'

Costco Wholesale Corp

The so-called Costco Effect is a phenomenon that boosts the wages of local economies as companies aim to compete with Costco's (NASDAQ:COST) wages, as defined by the "Micro" YouTube channel. 

"Surrounding businesses raise wages up to 40% more," the video said.