The Big Fix

Key Takeaways

• Concentration in Canadian sectors drives higher prices, lower wages
• Authors urge stronger antitrust tools and merger blocking
• Book overlooks government-imposed barriers like supply management and licensing
• Regulatory capture could expand government power, stifling competition
• Balanced reforms must address corporate power and public policy hurdles

Pulse Analysis

"The Big Fix" by Denise Hearn and Vass Bednar delivers a concise, 140‑page diagnosis of Canada’s mounting market concentration. The authors argue that a handful of conglomerates have secured dominance across retail, telecommunications, and finance through aggressive roll‑up acquisitions, cross‑subsidies, and what they term “kayfabe” competition—an illusion of rivalry that masks true market power. Their data link this consolidation to rising consumer prices, stagnant wages, and a slowdown in startup activity. By framing competition failures as a corporate‑centric problem, the book calls for a sweeping overhaul of antitrust law and merger review.

Critics note that the narrative sidesteps a parallel set of public‑policy constraints that reinforce the same outcomes. Canada’s supply‑management system for dairy, poultry and eggs, along with stringent occupational licensing and foreign‑ownership caps, creates artificial entry barriers that protect incumbents regardless of private market dynamics. The authors warn that stronger government intervention could invite regulatory capture, yet they do not explore how existing regulations already curtail competition. This omission narrows the policy debate, leaving readers without a full picture of the state‑driven mechanisms that sustain high prices.

A pragmatic reform agenda must therefore tackle both private monopoly power and entrenched public barriers. Strengthening the Competition Bureau’s investigative toolkit, imposing limits on vertical integration, and expanding the scope of merger scrutiny are essential steps, but they should be paired with a review of supply‑management quotas, licensing reforms, and foreign‑ownership rules. Such a “whole‑of‑government” approach can reduce the risk of over‑regulation while unlocking market entry for innovators. For Canadian businesses and consumers, balanced competition policy promises lower costs, higher wages, and a more dynamic economy.