An independent, peer-reviewed study commissioned by the Competition Bureau found that removing regulatory barriers to competition in Canada could grow the economy by up to 10% over the long term.
The study-The Potential Impact of Pro-competitive Regulatory Reforms on Productivity and Growth in Canada- was conducted by international productivity experts and published in the International Productivity Monitor.
The authors highlight that current regulations in four key sectors-energy, transportation, retail distribution, and professional services-are more restrictive than necessary. The study finds that making these rules more competition-friendly would create a stronger environment for innovation, help close the productivity gap with leading economies, and raise living standards for Canadians.
The study also notes that the estimated 6.5 to 10% boost to Canada's Gross Domestic Product is conservative and reflects only part of the potential benefits. Additional gains could be realized by:
- reducing barriers to trade within Canada,
- making it easier for workers to move between provinces, and
- attracting greater investment from abroad.
The findings provide compelling evidence that implementing pro-competition regulations has the power to unlock significant economic growth for Canada.
