Trump’s Deregulation Binge | Stock News & Stock Market Analysis

Regulation: With all that was going on last week, maybe you missed this: President Trump has cut 22 regulations for every new one put on the books over the last year. It’s a big reason why the economy is perking up.

For fiscal 2017, major U.S. government agencies put out some 67 actions to deregulate the economy. Meanwhile, they issued just three new major rules. Trump vowed before entering office to cut two rules for each new one imposed, so mission accomplished, big time.

X “The never-ending growth of red tape in America has come to a sudden, screeching and beautiful halt,” Trump said on Thursday, as he released the federal government’s twice-a-year Unified Agenda for regulation.

The cost savings so far from the effort: Some $8.1 billion in net federal regulatory costs. But the impact on the larger economy is far more significant.

A big reason for this is, as the Competitive Enterprise Institute’s Clyde Crews notes, the effort is more far-reaching than it seems. Because the actual deregulation actions taken so far are just a drop in the bucket.

There are literally hundreds of pending rules and regulations, all with varying costs, and Trump has quietly stymied many of them. All told, 1,579 planned regulatory actions have been either withdrawn or delayed in the last year.

As Elizabeth Harrington of the Washington Free Beacon noted, that came in stark contrast to the Obama administration, “which imposed a record 600 major regulations, adding rules that cost the economy $100 million or more at a rate of every three days.”

No Hidden Agenda: Get News From A Pro-Free Market, Pro-Growth Perspective

Given the immense cost of regulation to the economy, it’s not surprising that many businesses are today reporting higher profits and raising their estimates for coming years. With an estimated $1.9 trillion in regulatory costs each year on the economy, small changes can have a big, positive impact, especially on small businesses that often bear the brunt of costly regulations imposed by bureaucrats.

Nor is this he end of Trump’s regulatory pruning. As he presented the new report on Thursday, Trump stood beside a mountain of documents representing the 185,000 pages in the federal regulatory code, a veritable mountain of costly rules that the economy must digest each and every day.

Beside it, the vastly smaller 20,000 pages of rules from 1960, a far smaller pile that could easily fit into a small filing cabinet. Trump says he wants to return to the 1960 level of regulation. That might be hard, and even require changes in law from Congress. But if he got even close to the 1960 level, the economy would surge.

One of the greatest things that can happen to the U.S. economy is that the tyranny of unneeded regulations should end. As he promised, Donald Trump is doing just that.


Lots Of Presidents Talked About Getting Rid Of Bad Regulations — Trump Is Actually Doing It 

Regulations Cut: Another Yuuuge Trump Promise Fulfilled 

How Can Trump Make America’s Economy Great Again? By Deregulating It 

Click here for more Commentary and Opinion from Investor’s Business Daily.

Want to make more money in the stock market? Start with IBD University.


Source link

Originally posted 2017-12-17 06:50:40.


No comments.

Leave a Reply

error: Content is protected !!