Interest rate hikes have brought Canada’s cost-of-living crisis to a fever pitch. And while workers are feeling the squeeze, energy corporations are reaping superprofits.
the level of concentration in grocery distribution is worse than the telecoms.
Telecoms can fall into being natural monopolies for technical reasons, like there only being so much radio spectrum to go around. Grocery distribution, not so much. Literally anyone can start selling groceries right now.
Which, during the height of COVID, when going to restaurant was not allowed, we saw exactly that – a number of restaurants transitioned into being grocery stores.
We had our chance to change our ways. Nobody wanted to. There is concentration in the grocery business because that’s what we desire. Plain and simple.
Agreed, the level of concentration in grocery distribution is worse than the telecoms. At this point they need to be broken up and run as non-profits!
Telecoms can fall into being natural monopolies for technical reasons, like there only being so much radio spectrum to go around. Grocery distribution, not so much. Literally anyone can start selling groceries right now.
Which, during the height of COVID, when going to restaurant was not allowed, we saw exactly that – a number of restaurants transitioned into being grocery stores.
We had our chance to change our ways. Nobody wanted to. There is concentration in the grocery business because that’s what we desire. Plain and simple.
This has nothing to do with price ceilings on food being a universally bad decision.