Small business owners can sometimes wonder who they are working for, themselves or the government. So onerous are government regulations and record-keeping requirements that the time that should be spent building successful businesses is wasted on government red tape. Or money must be spent paying others to deal with government regulations for you.
So often these regulations are written by people who have no experience in business whatsoever, and who consequently cannot appreciate the nuisances they create. Even if they did realize the burdens they were placing on businesspersons, they probably wouldn’t care. They operate on the mistaken assumption that business will continue regardless of what regulatory obstacles they erect.
Since it is very difficult to measure the reduction in business growth and profitability from regulations and paperwork, this problem is often ignored, especially by those who make the rules. The people who are not hired, the growth that does not occur, and the profits that are not generated as a result of government meddling are not obvious or even measurable. Hence, when there is a rollback in the regulatory state like we see right now, it’s cause for celebration.
President Trump just signed an executive order that will force government bureaucrats to restrain their seemingly insatiable desire to regulate everything they can. It’s a simple plan, and it comes in the form of an executive order: “Trump explained during the signing ceremony at the White House that for every new regulation that would be created, two other regulations would have to be cut. ‘If there’s a new regulation, we have to knock out two,’ Trump said. ‘But it goes beyond that. We’re cutting regulations massively for small business and for large business.’”
For once, bureaucrats will be required to consider the consequences of the regulations they would impose on businesses. They will be forced to decide if the creation of a new regulation is important enough to eliminate two others.
While we can be sure that our over-zealous regulatory state will try to find ways around this, it’s clear that the tide has turned. Creating regulations without responsibility has been curtailed. It’s the way things should have always been.