Which factor has contributed to the growth of inequality in Canada?

The consolidation of large corporations has significantly contributed to the growth of inequality in Canada. As large corporations merge and dominate various sectors, they often gain substantial economic power, allowing them to influence wage-setting practices and reduce competition. This consolidation tends to lead to higher profits concentrated at the top, benefiting a small number of executives and shareholders while minimizing job security and wage growth for the average worker.

Additionally, large corporations may invest in automation and technology that can reduce the need for lower-skilled labor, further widening the gap between high-income and low-income individuals. The power dynamics shifted by these corporations can also influence political decisions that do not necessarily favor equitable economic distribution. As wealth accumulates at the top, the disparity in income and access to resources grows, exacerbating inequalities within society.

While governmental support for low-income families, union membership, and the job market are all important factors in discussing inequality, none have contributed to its growth as directly and significantly as the consolidation of large corporations.