If there has been an observable trend in recent decades, it is surely that of excessive intervention and a growing willingness of governments to try to replace markets. We have another fine example of this with the latest fashionable idea from the world of municipal politics, notably in Toronto and New York and taken up by the federal NDP: The creation of public grocery stores.

Some politicians even claim this could save Canadian families 30-40% on their grocery bills. Alas, nothing could be further from the truth.

GIGUERE: Governments should not be opening grocery stores Back to video

First, let’s be clear: Grocery stores do not enjoy outsized profit margins. The industry norm is between 3-5%.

Even if those margins were eliminated, while maintaining efficiency, the savings for consumers would not exceed $11 to $18 per person per month, according to calculations from Toronto’s Daily Bread Food........

© Edmonton Sun