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Washington, D.C., July 16, 2008—What goes up and doesn’t come down? The federal budget and the cost of federal
regulations. A new report finds that the
cost of federal regulations on consumers at a staggering $1.16 trillion in
“The bottom line is that federal government regulations ate nearly 10 percent of what the U.S.
economy produced last year,” said Wayne Crews, author of Ten Thousand Commandments: An
Annual Snapshot of the Federal Regulatory State .
“At the same
time,” said Crews, “government is also spending more than ever before - $2.73 trillion;
and the President has submitted a $3 trillion spending plan for next year. Between paying taxes and paying to comply
with government regulations, it’s a crushing burden for American businesses and
Among the report’s
solution to the crushing level of federal regulations on the lives and
livelihoods of American workers? The
report urges a series of reforms to make the cost of regulation more
transparent and accountable to the people.
For example, an annual cost-benefit “report cards” on regulations. And Congress should be required to vote on
significant agency rules before they are binding.
“Cost of Government Day” marks the date of the calendar
year on which the average American has earned enough in cumulative gross income
to pay for his or her share of government spending (total federal, state, and
local) plus the cost of regulation.