CEI Daily Update
Issues in the News
1. TECHNOLOGY
The Federal Communications Commission solicits comments on possible “net neutrality” rules for broadband networks.CEI Expert Available to Comment: Vice President for Policy Wayne Crews on the flawed thinking behind the push for neutrality regulations:
“Fundamentally, net neutrality rests upon the fallacy that infrastructure and content companies are naturally at odds, and that competition and customer service thus require political force. In reality, the sides are being driven—even coaxed—into this unnatural conflict by a highly charged political environment that hews to a flawed philosophy of how network wealth is created.”
2. ECONOMY
President Bush signs a $168 billion economic stimulus package.CEI Expert Available to Comment: Center for Entrepreneurship Director John Berlau on what Milton Friedman would think of the stimulus:
“…uncertainty constrains investment. And that’s why it would be so much better reduce this uncertainty by an action such as making the tax cut permanent than a Keynsian temporary stimulus that has been show again and again to be flawed. The late Milton Friedman’s ‘permanent income’ hypothesis demonstrably shows that people do not spend money from a one-time stimuli from the government — in fact if they perceive bad times, they are likely to hoard any extra money they get — but with regard to expectations about their future income.”
3. LEGAL
The Senate votes to grant immunity to phone companies that assisted the government’s domestic surveillance program.CEI Expert Available to Comment: Special Projects Counsel Hans Bader on the difference bewteen private and government liability:
“It’s worth noting that the federal officials who created a surveillance program already enjoy ‘qualified immunity’ against having to pay damages, even if a court later declares the program illegal, unless their belief that it was legal was plainly unreasonable. (They can still be ordered by a court to stop operating the program, but they can’t be ordered to pay damages if the defense of qualified immunity applies). But private companies, unlike government officials, do not enjoy such ‘qualified immunity’ against damages, exposing them to potentially huge liabilities and attorneys fees.”
Blog feature: For more news and analysis, updated throughout the day, visit CEI’s blog, Open Market.
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