Leading Trends #3 - The Unbearable Cost of Overregulation
by Utah Attorney General Mark Shurtleff
08/16/2012 | 1489 views | 2 2 comments | 7 7 recommendations | email to a friend | print
The continuing trend of excessive regulation will sharply retard U.S. economic growth. Unless we dial over-regulation back, this country will pay a heavy price. "The home of laissez-faire is being suffocated by excessive and badly written regulation" according to the Economist. They continue, "Consider the Dodd-Frank law of 2010. Its aim was noble....But Dodd-Frank is far too complex, and becoming more so. At 848 pages, it is 23 times longer than Glass-Steagall, the reform that followed the Wall Street crash of 1929. Worse, every other page demands that regulators fill in further detail.

The regulations for the Affordable Care Act will run into the hundreds of thousands of pages. Hospitals, clinics, and doctors will have to review and implement expensive changes. The EPA is cranking out very restrictive regulations, some of which exceed statutory authority and take policy positions not addressed in governing legislation.

So why are we getting so much regulation? Politics and lobbying, lazy lawmakers, and overly zealous administrators.

Politics and Lobbying

Lawmakers are elected to turn their policy ideas into legislation. When they stir too much of their political policy into the existing rubric of laws and regulations and market economics, you get a thick, distasteful, and harmful stew. Consider also the potent influence of lobbying groups wanting laws favoring their members. For instance, many groups have sought licensing and regulations to "protect the public." Or are they really just trying to limit competition by erecting a high bar to entry?

Lazy Lawmakers

In the last decades, Congress began making laws expressed in conceptual but legally vague terms knowing that regulations or court cases would define the specifics of the law. So they punt the cost of their fuzzy thinking or their legally sloppy work to the public, who must either comply with ridiculous, burdensome regulations or litigate at great cost against a government with a bottomless supply of lawyers. The PPACA calls into existence countless new federal agencies, all of which will have to define their mission by writing new regulations. Regulations are sometimes appropriate. But in my opinion, Congress has unconstitutionally delegated legislative power to bureaucrats.

Overzealous Regulators

Regulators like to regulate; that's what they do. Once you begin to draw fine lines around things, it's almost impossible to stop. The laudable goal of a wheelchair-accessible environment becomes ridiculous and costly when regulation requires modification of sidewalks where a wheelchair never has and never will come. Regulators don't face election, and they have jobs for life. Congress hardly ever reins them in, so what's to prevent them from implementing their own version of policy.

Over-sophistication of the Law

There is an entire domain in which we must regulate ourselves. As we pile law upon law, their burden soon stifles business and living, warping markets and hurting the people they’re meant to protect. If we don’t cooperate in getting out of a parking lot after a football game, we must hire more police, develop more rules, etc. We cannot nor do we want to legislate everything. It is the absolute necessity to render “obedience to the unenforceable….” John Fletcher Moulton.

I hope lawmakers will wake up and see what they and their regulatory agencies are costing America.

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August 18, 2012
The Unbearable Cost of Underregulation

Your narrative makes NO GOD DAMN SENSE! Are you blind & deaf? Have you been living under a rock for two decades? The current economic pain hundreds of millions of Americans have felt for years were triggered by removing NECESSARY regulations from banks. We’ve been through this pain before, those regs were made to prevent this!

The corrupt private incentive to profit by harming everyone else is too great. Too many people are happy hurt others. The sum of the harm they do to everyone else exceeds their own private profit, making our whole society net poorer.

The core problem with your regressive thinking process is that selfishness is not morally justifiable, and produces worse outcomes than cooperation.

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August 17, 2012
Another example is the Foreign Accounts Tax Compliance Act (FATCA) which threatens to shut down all foreign investment and other global financial exchanges in/with the USA. For more information go to http://www.ey.com/GL/en/Industries/Financial-Services/Banking---Capital-Markets/FATCA--resources
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Ten Things You Need to Know for Friday
by Bryan Schott
May 24, 2013 | 22848 views | 0 0 comments | 3 3 recommendations | email to a friend | print
Countdown: There are 166 days to the 2013 municipal elections, 249 days until the start of the 2014 Legislature, 525 days until the 2014 midterm elections and 962 days until the 2016 Iowa Caucuses. 

An analysis says expanding Medicaid coverage will save Utah more than $130 million and would give health insurance to 123,000 residents [Tribune].

A new report ranks Utah #1 for economic outlook next year [Utah Policy, Tribune].

House Majority Leader Brad Dee goes on a European vacation with three lobbyists, but Dee insists the trip was above board because everybody paid their own way and they didn’t discuss politics [Tribune].

Former Attorney General Mark Shurtleff is caught on tape offering to get $2 million for Utah Businessman Darl McBride if he would shut down a website critical of another Utah businessman. That money was to come from a third Utah businessman who was in trouble with the Attorney General’s office [Tribune].

Former Legislator and current blogger Holly Richardson says she’s had enough with the “culture of corruption” permeating the Attorney General’s office [Holly on the Hill].

Sen. Orrin Hatch wants to hear from Utahns who think they have been inappropriately targeted by the IRS as part of his investigation into misconduct by the agency [Tribune].

Kennecott lays off 100 workers because of the massive landslide at their Bingham Canyon Mine [Tribune, Deseret News].

The Boy Scouts vote to allow gay members in their ranks [Deseret News].

Former Utah Gov. Jon Huntsman launches a new political action committee to support Republicans who share his point of view [Tribune].

Gov. Gary Herbert says he is confident the state can work out a deal to avoid taxing the electricity used by the new National Security Agency data center at Camp Williams [Tribune].
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