Regulations Don’t Hurt Business?
Or so says Senate Majority Leader Harry Reid (D-NV). In a floor speech Tuesday morning, Sen. Reid declared:
“My Republican friends have yet to produce a single shred of evidence that the regulations they hate so much do the broad economic harms they claim. That’s because there aren’t any.”
He also claims that conservatives think all of our economic woes were caused by regulations. Just like liberals believe all of our problems can be solved by raising taxes, right?
No one is suggesting zero regulations. And no one wants “dirtier air, dirtier water, less people with health insurance,” as President Obama claims conservatives want. It’s all a red herring.
Sen. Reid says there is no shred of evidence that regulations hurt hiring, but according to a recent survey from the National Federation of Independent Businesses (NFIB) reports that 1 out of every 5 small businesses say government regulations and red tape are the main obstacle to job creation.
Harry Reid claims that only a tiny amount of layoffs are due to regulations. Well, yeah, layoffs are down everywhere, it’s hiring and job creation that is the problem. And that’s where regulations are having a major impact.
Sen. Reid also says that the financial meltdown and oil spill could have been prevented with more regulations. Well, we had plenty of regulations prior to the financial meltdown, some of which contributed to the housing boom and bust! The solution — Dodd-Frank — caused Bank of America to cut 30,000 jobs and try to impose new fees to make up revenue losses dictated by the bill.
As for the oil spill, punishing thousands of workers and companies for the negligence of one is absurd. President Obama and his administration seem more than willing to hamper the economy in order to gain votes from environmentalists (just like with the Keystone pipeline delay). According to Bob Beauprez of Townhall:
“Even prior to the Obama Administration’s onslaught of new rules and regulations, the Small Business Administration estimated that federal regulation imposed a $1.75 trillion annual cost burden on the economy. Further, according to the Heritage Foundation the 75 new major rules put in place in just the first 26 months of the Obama Administration added $40 billion more in expense to American businesses.”
The notion that regulations do no harm is ludicrous on its face. When companies have to spend capital in order to comply with regulations, that capital cannot be used to create jobs in America; plain and simple.
Now that we’re $15 trillion in debt, it might be a good idea to start actually listening to what job creators say are impeding hiring and work to remedy those grievances.