The Globe and Mail reports in its Monday edition that Canada has faced criticism for its economic flaws. The Globe's Tim Shufelt writes that the Toronto Stock Exchange, however, presents a different picture, with productivity rising. Since the COVID-19 pandemic's peak, sales per employee in the S&P/TSX Composite Index have increased by about 20 per cent. This boost in productivity has led to higher profit margins, now about 12.5 per cent, aligning with those of U.S. blue chip companies. The TSX is a haven for oligopolies, and that is not necessarily a bad thing for investors. There are a few reasons our industries have evolved this way. The need to attain scale as a defence against the American juggernaut. A vast geography with low population density, and a legal framework that paves the way for industry consolidation. There are obvious drawbacks to this kind of system from a competitive standpoint. Canadian consumers are largely forced to choose between Air Canada and WestJet, Rogers, Bell and Telus, or the Big Six banks. But from an investor's perspective, there is strength in concentration. Companies in these industries can fend off competitive threats without sacrificing their profit margins.