Regulations are taxes by another name. Here are the most interesting stories on federal regulation policy from the last week:
Despite routinely imposing a greater burden on private individuals and businesses, it appears some components of the federal government is unwilling to strengthen rules governing its own operations. According to The Washington Post, despite a presidential directive to improve transparency, more than 70 percent of federal agencies have yet to update their Freedom of Information Act rules.
The 2010 health care law requires Americans with pre-existing conditions be able to get health insurance. However, according to Bloomberg, the premium rates are still expected to be very high.
According to the American Action Forum, “Since passage, based on total lifetime costs of the regulations, the Affordable Care Act has imposed an estimated $20.5 billion in private-sector burdens, approximately $7.2 billion in costs to the states, and 62.8 million annual paperwork hours.”
The Federal Reserve announced new rules for foreign banks recently. But like many regulations they might have unintended consequences. According The Washington Post, “In anticipation of the rules, some major foreign banks have restructured their U.S. operations to skirt the higher capital requirements. Deutsche Bank, Germany’s largest lender, shed its bank holding company in February, just as London-based Barclays did a year earlier.”
According to Bloomberg, community banks and insurance companies believe new international regulations on capital could put them out of business.