Monthly Archives: April 2013

CEI’s Battered Business Bureau: The Week in Regulation

processed pears
This week in the world of regulation:

  • Last week, 66 new final regulations were published in the Federal Register. This is down from 86 new final rules the previous week.
  • That’s the equivalent of a new regulation every 2 hours and 32 minutes — 24 hours a day, seven days a week.
  • All in all, 1,101 final rules have been published in the Federal Register this year.
  • If this keeps up, the total tally for 2013 will be 3,464 new final rules.
  • Last week, 1,307 new pages were added to the 2013 Federal Register, for a total of 24,940 pages.
  • At its current pace, the 2013 Federal Register will run 76,976 pages.
  • Rules are called “economically significant” if they have costs of $100 million or more in a given year. No such rules wre published last week, for a total of 12 so far in 2013.
  • The total estimated compliance costs of this year’s economically significant regulations ranges from $5.58 billion to $10.19 billion.
  • So far, 84 final rules that meet the broader definition of “significant” have been published in 2013.
  • So far this year, 202 final rules affect small business; 20 of them are significant rules.

Highlights from final rules published last week:

For more data, go to TenThousandCommandments.com.

Regulation Roundup

Margaret Thatcher vs. Today’s GOP

I am neither a Thatcherite nor a Reaganite, but I’d still take either of them over today’s Republican Party in a heartbeat. Reflecting on Thatcher’s recent passing, Warren Brookes Fellow Matthew Melchiorre and I explore that theme in today’s American Spectator:

In pursuing what she described as an “enterprise society,” Thatcher revolutionized politics on both the right and the left. In fact, her policies were so popular with the working class its support for the Conservative Party was 51 percent higher than normal during her term, according to our calculations of polling data. Thatcher’s restoration of the Conservative Party as a credible alternative to Labour gave Tony Blair no choice but to re-brand Labour into the more market-oriented “New Labour” to win national elections again.

What can today’s Republicans learn from comparing Thatcher’s legacy with their own? The GOP’s failure to match tax cuts with spending cuts hasn’t worked — in the economy or at the ballot box. A better approach to encourage entrepreneurship would be to make real spending cuts, lighten regulation to free up access to credit, and restore government finances through a simpler tax code instead of higher rates.

Thatcher certainly earned her nickname, the Iron Lady. It is a shame that, across the board, today’s politicians are made of much more malleable material. Read the whole thing here.

CEI Podcast for April 25, 2013: Regulations Are Less Than Transparent

transparency-camp-2010-wordle
Have a listen here.

Every year, the Office of Management and Budget (OMB) releases a report on the costs and benefits of the previous year’s new regulations. This year’s report was just released. Vice President for Policy Wayne Crews points out that the report ignores three quarters of all agencies and includes the costs of fewer than one half of one percent of last year’s regulations. Even so, the reported costs are double the previous year’s.

Slow News Day

Arlington County Recognizes 19 Notable Trees

Update: I sent this breaking story to Dave Barry’s blog; he concurs.

Earth Day: The Greener Side of Growth

Hopetoun_falls
It may not be a popular fact, but a fact it is: the environment is getting cleaner, and it has since about the mid-20th century. The question is, what caused this improvement? How can we keep it going? Over at Topix.com, my colleague Geoffrey McLatchey and I argue that the best answer for both questions is wealth creation:

Economic growth and environmental quality are not opposing values. They go hand-in-hand. Something happens to a country when its per capita GDP reaches about $5,000 (U.S. per capita GDP is about $48,000). At that point, families are certainly not rich. But they don’t have to worry as much about where their next meal will come from. They can afford to begin to take care of other needs, such as building sewage systems and other pollution-reducing infrastructure. Instead of using wood for heating and cooking, people can turn to more efficient fossil fuels, which means less deforestation. Farmers can afford to adopt modern techniques that produce more food with less land, leaving more left over for wildlife.

That’s the good news. The even better news is that greater progress is on the horizon. The number of people living in absolute poverty halved between 1990 and 2010, and the number continues to dwindle. Remarkably, this is happening even as global population increases. As more countries pass the $5,000-per capita benchmark, ecosystems around the world will benefit.

Read the whole thing here. Even if people do concede to the data and admit that the world’s environmental situation isn’t doom-and-gloom, they often give credit to the EPA. A glance at my recent EPA report card will hopefully disabuse people of that notion. Innovation, not regulation, is what will keep the environment healthy. That’s the lesson people should take from Earth Day.

CEI’s Battered Business Bureau: The Week in Regulation

Sorghum
This week in the world of regulation:

  • Last week, 86 new final regulations were published in the Federal Register. This is up from 67 new final rules the previous week.
  • That’s the equivalent of a new regulation every  hour and fifty seven minutes — 24 hours a day, seven days a week.
  • All in all, 1,035 final rules have been published in the Federal Register this year.
  • If this keeps up, the total tally for 2013 will be 3,466 new final rules.
  • Last week, 1,368 new pages were added to the 2013 Federal Register, for a total of 23,633 pages.
  • At its current pace, the 2013 Federal Register will run 77,741 pages.
  • Rules are called “economically significant” if they have costs of $100 million or more in a given year. One such rule was published last week, for a total of 12 so far in 2013.
  • The total estimated compliance costs of this year’s economically significant regulations ranges from $5.58 billion to $10.19 billion.
  • So far, 83 final rules that meet the broader definition of “significant” have been published in 2013.
  • So far this year, 188 final rules affect small business; 20 of them are significant rules.

Highlights from final rules published last week:

For more data, go to TenThousandCommandments.com.

The Wisdom of Ronald Coase

Two great quotes from “Economists and Public Policy,” from Coase’s collection Essays on Economics and Economists:

If we took seriously the argument used by those who advocate price controls and similar measures, we would expect much more extreme, and less sensible, proposals than are actually put forward. Thus, some senators belive that lower prices for gasoline would benefit consumers, so they introduce a measure which would make the gasoline prices of last December [1973] mandatory, not the still lower prices that prevailed in the 1930s.

Which implies that even senators tacitly acknowledge the laws of economics. The quotation below is self-explanatory, and has rightly become famous:

An economist who, by his efforts, is able to postpone by a week a government program which wastes $100 million a year (what I would consider a modest success) has, by his action, earned his salary for the whole of his life.

CEI Podcast for April 18, 2013: CISPA Is the Wrong Approach to Cybersecurity

A burglar opening a safe that is a computer screen
Have a listen here.

Today, the House passed the Cyber Intelligence Sharing and Protection Act of 2013 (CISPA). Associate Director of Technology Studies Ryan Radia opposes the bill because it would nullify existing contracts and eliminate the rule of law in certain areas.

A Theory on NFL Draft Picks

As an NFL owner (I own one share of Green Bay Packers stock), I like to keep an eye on my team. So I regularly read Vic Ketchman’s daily Ask Vic column on the team website. One of my questions appeared in today’s column (Mike Spofford is temporarily filling in while Vic takes some time off):

Ryan from Arlington, VA

Mike, here’s a theory on why the league keeps its formula for awarding supplemental picks secret: It prevents GMs from gaming the system by making transactions based in part on how it would affect potential supplemental picks. Plausible?

Entirely.

Read the whole thing here. Among other things, I learned that Aaron Rodgers has thrown only one interception in his entire career that has been returned for a touchdown — the fewest in the league during that span (Tom Brady has thrown two).