COSTS OF GOVERNMENT REGULATION

President Obama has during his first three years in office issued over 10,200 federal regulations that will cost consumers and businesses $46 billion annually. Worse, just implementing these regulations will have a one-time cost of $11 billion. The American Action Forum estimates that the cost of new regulations added under the Obama administration is $488 billion. The Competitive Enterprise Institute (CEI), in its “Ten Thousand Commandments” annual report, estimated the cost of U.S. government regulations is now $1.75 trillion. This number is higher than the total of all corporate profits. The “Code of Federal Regulations” is now 160,000 pages long and ten new ones are added every day. In 2011, Congress passed 81 new laws and government agencies issued 3,807 new regs. The CEI states that this is government without the consent of the people, or anyone else as far as that goes.
The Washington Examiner estimate that current federal regulations, plus those under Obamacare, will cost American taxpayers and businesses $1.8 trillion annually, more that 20 times the $88 billion estimated by the Obama administration. But this estimate may be low because HHS is still making the rules for implementing the 2,400 page Obamacare law. As Pelosi predicted, we are reading the law and finding out what’s in it, and it’s not all good. Full regulatory costs of Obamacare are not yet known and will not be realized until after the election. Darden Restaurants plans to convert many of their 180,000 employees to part-time status to avoid Obamacare penalties.
Senator Inhofe has released a report describing EPA regulations planned by the EPA that will further decrease economic growth and kill jobs. Greenhouse gas regulations will cost more than $400 billion a year and raise the price of gas at the pump and energy at home. Coal plants will be forced to close. Churches, schools, hospitals, restaurants and other businesses will be highly regulated. Many others will be forced to close. Ozone rules could cost “upwards of a trillion dollars a year and destroy 7.4 million jobs.” BLM regulations to curtain hydraulic fracturing will impact energy production and cost from $1.4 billion to $1.615 billion a year. EPA’s Boiler MACT (Maximum Achievable Control Technology) standards are so strict that companies will not be able to meet them and will be forced to shut their doors, ship 800,000 jobs overseas, and reduce GDP by as much as $1.2 billion. Tier III gas regulation could cost $10 billion initially and $2.4 billion annually, and would add 9 cents per gallon to gasoline costs.
These are just a few of the consequences of costly over regulation by the Obama administration as the government attempts to take over health care and implement Cap and Trade by regulation, when it could not be implemented by legislation. It represents movement to more government control of the economy, less freedom for We the People, and more constraints on capitalism.

Posted by at October 29, 2012
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