In front of the Federal Trade Commission building on Pennsylvania Avenue in Washington, D.C., where I used to work, stands a giant sculpture of a runaway horse being reined in. It’s called “Man Controlling Trade.” The allegorical sculpture by Michael Lantz is one of a pair installed in 1942, part of a New Deal-era program administered by the Section of Painting and Sculpture of the Treasury Department to commission works of art for federal buildings.

The idea that government should rein in the wild forces of capitalism was by 1942 well established. America had gone through a catastrophic Great Depression that revealed the need for stronger regulation of business and finance. The nation had also begun to mobilize the economy to fight World War II.

America then understood that stable prices and good wages depended on government taming corporate greed for the common good. This wasn’t socialism or communism. It was democratic, progressive capitalism. It was a means of saving both capitalism and democracy.

Recently, in a court in Oregon, the Federal Trade Commission began to rein in two giant runaway grocery chains — Kroger and Albertsons — that want to merge into the biggest grocery combination in history and gallop away with your money and many workers’ wages.

It’s the first time anti-monopoly law has been used both to tame consumer prices and help workers gain better wages. The case illustrates how the Biden-Harris administration is seeking to restructure the economy for the common good — and what the Harris-Walz administration will, hopefully, have the opportunity to do even more of.

Three arguments undergird the FTC’s case:

1. Grocery prices are already through the roof, in part because there’s not sufficient competition in most local grocery markets to force chains to lower their prices.

2. The proposed $24.6 billion merger would not only put 5,000 American grocery stores under one corporation. It would put 41 retail grocery brands and 4,000 pharmacies under the same corporation. It would signal to every other industry they can make big profits by further monopolizing.

3. If allowed to combine, Kroger and Albertsons would also put their combined 700,000 workers under one corporation. These workers would then have to bargain with just one take-it-or-leave-it giant grocery chain. This would erode their bargaining power, leading to lower wages, worse benefits, and weaker worker protections.

This last point — the relationship between corporate concentration and lower wages and benefits — is almost never raised in antitrust litigation yet it’s hugely important for understanding the current structure of the American economy and why so many American workers justifiably feel shafted.

Since the late 19th century, the U.S. government has been deciding the extent to which corporations can join together to gain market power, and workers can join together in labor unions to gain bargaining power. This balance of power has had as much effect on prices and wages as supply and demand — in fact, it undergirds supply and demand.

In the late 1970s, I worked at the Federal Trade Commission, which actively fought anti-competitive mergers and monopolies. But the Reagan administration eased up on them. Reagan also encouraged attacks on unions, as exemplified by his firing of striking air traffic controllers (who, in truth, had no right to strike).

The Biden administration has made priorities of both cracking down on corporate concentration and strengthening labor unions.

Lina Khan, chair of the FTC, and Jonathan Kanter, assistant attorney general for the antitrust division of the Justice Department, have been aggressively fighting corporate power. Jennifer Abruzzo, general counsel of the National Labor Relations Board, has been aggressively protecting workers’ organizing rights.

But there is far, far more to do.

Both sides of the economic equation — corporate power and worker power – must be addressed. The Biden-Harris administration has made a good start at reining in corporate power and strengthening worker power. Stopping the Kroger-Albertsons merger is an important step along the way.