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Is Regulatory Uncertainty a Major Impediment to Job Growth?

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Is Regulatory Uncertainty a Major Impediment to Job Growth?

United States Department of the Treasury,

5 min read
5 take-aways
Audio & text

What's inside?

You don't know what the rules are going to be? Don't worry.

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Editorial Rating

8

Qualities

  • Comprehensive
  • Innovative
  • Background

Recommendation

Some government publications are so vague that you cringe reading them. This clear article is a happy exception. The US Office of Economic Policy shares its reasoning and evidence openly as it covers several aspects of the issue at hand: the effect of regulatory uncertainty on job growth. getAbstract recommends this concise work to policy makers and to the broader group of readers looking for good reasoning about economic structures.

Summary

Considerable debate focuses on the impact of regulation on economic growth. Government opponents suggest that even “proposed regulations” create uncertainty and keep businesses from investing. Other critics say that current regulation is excessive and that its weight keeps companies from hiring new workers. If these concerns were valid, activity in one or more economic areas would show these symptoms. Investments or profits would drop. You’d see less investment in companies (or countries) with evolving regulations than in those with stable rules. If regulations were hampering businesses, “business owners and economists” would...

About the Author

The US Office of Economic Policy analyzes the factors shaping economic development. Jan Eberly is the US Assistant Secretary of the Treasury for economic policy.


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