On the surface, Boswell’s attempt to block Rogers Communications Inc.’s $26-billion takeover of Shaw Communications Inc. looks like an easy win, the kind of amalgamation that regulators such as the Competition Bureau were created to prevent.
But if that happens, it could help bring about some of the most meaningful changes to Canada’s competition rules in decades. In his three years running the Competition Bureau, Boswell has emerged as an outspoken critic of the Competition Act — the law he happens to be in charge of enforcing. He says the rules are out of step with the digital age, and too soft to stop mergers from choking competition and hurting consumers.
“If he loses, it’s just a damning indictment of the system,” said Jennifer Quaid, vice-dean of research and associate professor who specializes in competition law at the University of Ottawa. “That will be the most damning indictment of the merger provisions to date.”To be sure, a damning indictment alone won’t guarantee better rules, Quaid said. But the Rogers-Shaw case is getting the type of broad public attention not normally given to merger reviews at the tribunal.
Canada is a country of monopolies and oligopolies. That is why our wireless costs are high, our housing costs are extreme, our air fares are high and our food grocery store choices are limited. Its also why workers have not had increase wages in 50 years running.
Let them merge so that it will be easier to nationalize later.
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