Experts on both sides of the political divide agree that our
crumbling infrastructure needs to be improved. But regulation stands
in the way, write Christopher Helman and Daniel Fisher of
Forbes magazine.
"From subways to bridges to power lines and pipelines, the nation’s
land, water and key infrastructure is increasingly being held
hostage by a growing thicket of regulation, sophisticated opposition
and a me-first philosophy that regards development, no matter the
public good, as a potential assault on the sacred," they state.
The not-in-my-backyard (NIMBY) mentality has "delayed, killed or
inflated the expenses of more than 500 projects nationwide over the
last decade at a cost to the economy of more than $1 trillion
annually, Forbes conservatively estimates, though in truth those
numbers are likely far higher."
As examples, Helman and Fisher cite housing construction caps in San
Francisco, the Keystone XL pipeline in Nebraska, bridge and subway
construction in New York City and port expansion in Savannah, Ga.
And the writers criticize the Obama administration for implementing
499 major rules for federal agencies in its first six years, up 43
percent from the first six years of George W. Bush.
Speaking of regulation, with the Dodd-Frank financial reform law
celebrating its fifth anniversary this month, the editors at
Investor's Business Daily have offered their assessment of the Obama
administration centerpiece. The review isn't positive.
"It's a pernicious law, one that a devastating new report
suggests is largely to blame for our lackluster economy,"
an IBD editorial states. The report was
House testimony offered by American Enterprise Institute fellow
Peter Wallison Tuesday.
"I believe that all the new regulation added by the Dodd-Frank
Act in 2010 is the primary reason for the slow growth this
country has experienced since 2010," he said. Economic growth
has averaged 2.3 percent during that period.
IBD editors note that a key aim of the Dodd-Frank law was to
eliminate the notion of too-big-to-fail banks. "It sounded good
at the time. But in fact, it's had the exact opposite effect,
leading to a decline in small banks and rising market share for
the very largest," they note.
The biggest four banks — Wells Fargo, JPMorgan Chase, Citigroup
and Bank of America — have increased their share of deposits
since the 2008 financial crisis.
© 2015 Newsmax Finance. All rights reserved.