GE’s Outsized Reaction to Ex-Im Expiration

General Electric recently announced it would not move its headquarters to Cincinnati. The reason for this earth-shattering news is that some members of Ohio’s congressional delegation oppose reauthorizing the Export-Import Bank. GE is a major beneficiary of Ex-Im financing.

The announcement costs GE nothing to make, as the top contenders for relocation apparently include New York and Georgia. It expects to reach a decision by year’s end. GE, currently headquartered in Connecticut, is mulling a move as it sells off most of GE Capital, its financing arm. Connecticut’s high taxes and unfavorable business climate are also factors in GE’s relocation decision, though apparently GE only pays the state minimum in corporate tax–$250 (GE and its employees pay plenty of other taxes, though). Most of GE’s Connecticut employees work for GE Capital, whereas most of its other operations are elsewhere—including, ironically, Ohio.

GE also announced that, because of Ex-Im’s uncertain future, it is moving 500 jobs overseas. Then again, this isn’t exactly big news, either. GE has roughly 307,000 employees, so this is equivalent to about one sixth of one percent of its workforce. GE’s natural turnover from retirements, hirings, and firings is orders of magnitude higher. Also worth pointing out: about 55 percent of GE’s employees are already overseas.

Rep. Jeb Hensarling, one of the House’s leading Ex-Im opponents, made the astute point that GE “is leaving Connecticut because the state’s taxes are too high and is choosing to send jobs overseas because U.S. taxpayer-provided subsidies are too low.” In short, GE is making dire-sounding but insignificant announcements to make a political point. GE wants special government treatment that most other companies don’t get. Since some of those favors are being threatened, the company is throwing a tantrum.

Most congressmen are skittish creatures, eager to avoid angering large companies and their public relations departments. GE’s chest-beating may well throw many members back into line. But at least some members are willing to call shenanigans in this case. But are there enough backbones in Congress to prevent Ex-Im’s upcoming reauthorization attempt? Time will tell.

CEI’s Battered Business Bureau: The Week in Regulation

It was a short work week due to the Labor Day holiday, but agencies still found the time to finalize new regulations covering everything from unfinished wood to fleeing felons.

On to the data:

  • Last week, 48 new final regulations were published in the Federal Register, after 80 the previous week.
  • That’s the equivalent of a new regulation every three hours and 30 minutes.
  • So far in 2015, 2,306 final regulations have been published in the Federal Register. At that pace, there will be a total of 3,276 new regulations this year, which would be more than 200 fewer rules than the usual total of 3,500-plus.
  • Last week, 1,322 new pages were added to the Federal Register, after 1,313 pages the previous week.
  • Currently at 55,011 pages, the 2015 Federal Register is on pace for 78,141 pages.
  • Rules are called “economically significant” if they have costs of $100 million or more in a given year. Nineteen such rules have been published so far this year, none in the past week.
  • The total estimated compliance cost of 2015’s economically significant regulations ranges from $1.32 billion to $1.41 billion for the current year.
  • 194 final rules meeting the broader definition of “significant” have been published so far this year.
  • So far in 2015, 383 new rules affect small businesses; 55 of them are classified as significant.

Highlights from selected final rules published last week:

For more data, see Ten Thousand Commandments and follow @10KC and@RegoftheDay on Twitter.

CEI’s Battered Business Bureau: The Week in Regulation

A new International Trade Commission regulation gives a useful reminder of the holy trinity of price regulation: if a company charges a higher price than its competitors, it is guilty of having excessive market power over its competitors. If it charges the same price as its competitors, it is guilty of collusion. And if it charges lower prices than its competitors, it is guilty of unfairly undercutting its competitors.

Other new regulations from last week range from cotton imports to blueberries.

On to the data:

  • Last week, 80 new final regulations were published in the Federal Register, after 73 the previous week.
  • That’s the equivalent of a new regulation every two hours and 6 minutes.
  • So far in 2015, 2,258 final regulations have been published in the Federal Register. At that pace, there will be a total of 3,282 new regulations this year, which would be more than 200 fewer rules than the usual total of 3,500-plus.
  • Last week, 1,313 new pages were added to the Federal Register, after 1,261 pages the previous week.
  • Currently at 53,689 pages, the 2015 Federal Register is on pace for 78,037 pages.
  • Rules are called “economically significant” if they have costs of $100 million or more in a given year. Nineteen such rules have been published so far this year, none in the past week.
  • The total estimated compliance cost of 2015’s economically significant regulations ranges from $1.32 billion to $1.41 billion for the current year.
  • 188 final rules meeting the broader definition of “significant” have been published so far this year.
  • So far in 2015, 379 new rules affect small businesses; 55 of them are classified as significant.

Highlights from selected final rules published last week:

For more data, see Ten Thousand Commandments and follow @10KC and@RegoftheDay on Twitter.

How to Fix Regulation without Representation

Before it departed for its August recess, the House passed the Regulations from the Executive In Need of Scrutiny (REINS) Act. It would require Congress to hold votes on all new agency regulations costing at least $100 million per year, and would limit agency’s ability to regulate unilaterally.

In a piece over at The Hill’s Congress Blog, Wayne Crews and I make the case for the reconvening Senate to pick up the baton and also pass REINS:

There is an urgent need to free consumers, entrepreneurs and small businesses from the costs and hurdles associated with federal red tape. The REINS Act would be an excellent anchor for reform, allowing Congress to clean out obsolete rules and strengthen rulemaking disclosure and oversight. REINS deserves both a vote in the Senate and to reach President Obama’s desk. If the president vetoes it, it’ll be up to him to explain why Americans should be controlled by agency bureaucrats rather than the people they elected to represent them in Congress.

Read the whole thing here.

CEI’s Battered Business Bureau: The Week in Regulation

As the 2015 Federal Register topped 50,000 pages, federal agencies issued new regulations for everything from bicycles to tuna.

On to the data:

  • Last week, 73 new final regulations were published in the Federal Register, after 76 the previous week.
  • That’s the equivalent of a new regulation every two hours and 18 minutes.
  • So far in 2015, 2,178 final regulations have been published in the Federal Register. At that pace, there will be a total of 3,260 new regulations this year, which would be more than 200 fewer rules than the usual total of 3,500-plus.
  • Last week, 1,261 new pages were added to the Federal Register, after 1,993 pages the previous week.
  • Currently at 50,334 pages, the 2015 Federal Register is on pace for 75,351 pages.
  • Rules are called “economically significant” if they have costs of $100 million or more in a given year. Nineteen such rules have been published so far this year, none in the past week.
  • The total estimated compliance cost of 2015’s economically significant regulations ranges from $1.32 billion to $1.41 billion for the current year.
  • 181 final rules meeting the broader definition of “significant” have been published so far this year.
  • So far in 2015, 367 new rules affect small businesses; 53 of them are classified as significant.

Highlights from selected final rules published last week:

For more data, see Ten Thousand Commandments and follow @10KC and @RegoftheDay on Twitter.

EVERYBODY PANIC

Actual headline: China may be using sea to hide its submarines

CEI’s Battled Business Bureau: The Week in Regulation

Nearly 2,000 Federal Register pages contain regulations for everything from pay ratios to apricots.

On to the data:

  • Last week, 76 new final regulations were published in the Federal Register, after 83 the previous week.
  • That’s the equivalent of a new regulation every two hours and 13 minutes.
  • So far in 2015, 2,105 final regulations have been published in the Federal Register. At that pace, there will be a total of 3,248 new regulations this year, which would be several hundred fewer rules than the usual total of 3,500-plus.
  • Last week, 1,993 new pages were added to the Federal Register, after 1,285 pages the previous week.
  • Currently at 49,073 pages, the 2015 Federal Register is on pace for 74,969 pages.
  • Rules are called “economically significant” if they have costs of $100 million or more in a given year. Nineteen such rules have been published so far this year, none in the past week.
  • The total estimated compliance cost of 2015’s economically significant regulations ranges from $1.32 billion to $1.41 billion for the current year.
  • 177 final rules meeting the broader definition of “significant” have been published so far this year.
  • So far in 2015, 352 new rules affect small businesses; 53 of them are classified as significant.

Highlights from selected final rules published last week:

For more data, see Ten Thousand Commandments and follow @10KC and@RegoftheDay on Twitter.

CEI’s Battered Business Bureau: The Week in Regulation

The number of this year’s new regulations zoomed past the 2,000 mark, though the pace is still slower than usual. This week’s new rules cover everything from mailboxes to macadamia tree insurance.

On to the data:

  • Last week, 83 new final regulations were published in the Federal Register, after 71 the previous week.
  • That’s the equivalent of a new regulation every two hours and two minutes.
  • So far in 2015, 2,029 final regulations have been published in the Federal Register. At that pace, there will be a total of 3,231 new regulations this year, which would be several hundred fewer rules than the usual total of 3,500-plus.
  • Last week, 1,285 new pages were added to the Federal Register, after 1,586 pages the previous week.
  • Currently at 47,080 pages, the 2015 Federal Register is on pace for 74,969 pages.
  • Rules are called “economically significant” if they have costs of $100 million or more in a given year. Nineteen such rules have been published so far this year, none in the past week.
  • The total estimated compliance cost of 2015’s economically significant regulations ranges from $1.32 billion to $1.41 billion for the current year.
  • 169 final rules meeting the broader definition of “significant” have been published so far this year.
  • So far in 2015, 337 new rules affect small businesses; 51 of them are classified as significant.

Highlights from selected final rules published last week:

For more data, see Ten Thousand Commandments and follow @10KC and @RegoftheDay on Twitter.

 

Slow News Day

The Hill: Obama, Hillary to attend Martha’s Vineyard birthday party

CEI’s Battered Business Bureau: The Week in Regulation

As it zoomed past the 45,000-page mark, the 2015 Federal Register saw new regulations covering everything from space particles to raspberries.

On to the data:

  • Last week, 71 new final regulations were published in the Federal Register, after 74 the previous week.
  • That’s the equivalent of a new regulation every two hours and 22 minutes.
  • So far in 2015, 1,946 final regulations have been published in the Federal Register. At that pace, there will be a total of 3,201 new regulations this year, which would be several hundred fewer rules than the usual total of 3,500-plus.
  • Last week, 1,586 new pages were added to the Federal Register, after 1,540 pages the previous week.
  • Currently at 45,795 pages, the 2015 Federal Register is on pace for 77,882 pages.
  • Rules are called “economically significant” if they have costs of $100 million or more in a given year. Nineteen such rules have been published so far this year, three in the past week.
  • The total estimated compliance cost of 2015’s economically significant regulations ranges from $1.32 billion to $1.41 billion for the current year.
  • 165 final rules meeting the broader definition of “significant” have been published so far this year.
  • So far in 2015, 331 new rules affect small businesses; 51 of them are classified as significant.

Highlights from selected final rules published last week:

For more data, see Ten Thousand Commandments and follow @10KC and@RegoftheDay on Twitter.