President Joe Biden is signing an executive order aimed at increasing competition in the US market.
Consolidation has been a major force in the American market for decades. Mom and pop shops have steadily been forced out as entire industries have become dominated by a handful of major players. According to the Biden administration, this consolidation and lack of competition costs American families some $5,000 per year.
That lack of competition drives up prices for consumers. As fewer large players have controlled more of the market, mark-ups (charges over cost) have tripled. Families are paying higher prices for necessities—things like prescription drugs, hearing aids, and internet service.
To address the problem, President Biden is preparing to sign an executive order that would involve more than a dozen federal agencies and 72 initiatives aimed at tackling the problem across multiple industries.
The action is expected to benefit the labor market, healthcare, transportation, shipping, agriculture, internet access, banking and finance, as well as increase competition in the tech industry by adding additional scrutiny of mergers and acquisitions.