DR. JACK MINTZ
President’s Fellow at the School of Public Policy,
University of Calgary

Around the world, governments are experimenting with greater involvement in private companies, from equity stakes in struggling firms to so-called “golden shares” that give veto power over corporate decisions. While the intention is often to stabilize industries or protect national interests, the results are mixed at best. Experience in the U.S., Europe, and Canada shows that when governments blur the line between regulator and shareholder, companies can become less efficient, more dependent on subsidies, and slower to make necessary but difficult decisions. Moreover, governments and private investors have conflicting objectives, with governments often prioritizing social goals over profit, while private investors seek to maximize shareholder value.

The lesson is clear: lasting economic growth comes not from state control, but from creating the right conditions for private investment, innovation, and competitiveness. For policymakers, the challenge is to support strategic industries without undermining the independence and performance of the private sector.

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