Despite what socialist leaning politicians and bureaucrats might have you believe, adding more regulations to business does not spur employment. What it does is it increases the costs to businesses, and therefore they have to raise their prices to consumers, and this ends up hurting the economy, and causing businesses to reach a price point where their clients will not partake. In other words, it kills businesses, industries, and jobs.
Nevertheless, socialist regimes use what they call empirical data to show otherwise, but is rather more like wishful thinking, fuzzy math, and the bogus concept that if you screw around with the flows of capital, labor, money, and production that you can build a utopian society without any unintended consequences. History shows that isn’t the case, but these folks along with their academic co-conspirators constantly attempt to create such a fantasy, and then promote their agenda like there’s no tomorrow, using fear tactics, media tricks, and rumblings from the masses.
In Industry Week Online News for Industry there was an interesting article posted on August 10, 2011 titled; “Obama Unveils Fuel-Efficiency Standards for Heavy-Duty Vehicles,” by Josh Cable, one of their best article writers in my humble opinion. The teaser sentence was; “White House predicts the new standards will save commercial-vehicle operators $50 billion.”
Okay so, how does making mandatory regulations on an industry save commercial operators $50 billion when they are forced to ditch their old equipment and buy costly new equipment just to drive their trucks on the road? This socialist way of thinking has to stop, and it needs to stop soon if we are going to maintain our middle class. You see, when trucking and transportation companies have to spend more on new equipment just to stay in business, they end up raising their rates. In doing so it acts as a wholesale tax on every American.
Indeed, I found it most laughable when the Obama Administration told SP that their math was off by $2 trillion and tried to intimidate them and character assassinate them in the media and market place. The reality is that nearly all the math that the Obama Administration uses to promote their agenda is “Fuzzy Math” from ObamaCare to the Budget Debt Deal.
Now then, the Administration might believe that this will create jobs in manufacturing for heavy truck makers, sure that makes sense, but we must be careful when governments start assuming they can create jobs by increasing regulations, because when the dust settles it is always the opposite which occurs. Indeed, it is my sincere hope that you will please consider all this and think on it.