Tuesday, September 28, 2010

I wonder why jobs keep moving to China?

This is probably most of the reason............

Congress passed 1,163 new environmental laws between 1973 and 2006. Logomasini found that only 85 of those statutes reduced government regulation, while 795 increased it. (The remainder lacked significant regulatory impact.)

Environmental issues were the focus of more legislative activity during that period than any other, except symbolic resolutions and designations.

Five of the 50 volumes containing the federal regulatory code are devoted exclusively to environmental regulation, and an additional 12 volumes address environmental regulation to some degree.

Regulatory compliance costs are skyrocketing. According to a Small Business Administration report titled “The Impact of Regulatory Costs on Small Firms,” the total cost of complying with federal regulations is $1.1 trillion a year as of 2004. That’s more than $10,000 per household. The cost of regulatory compliance was just $7,000 in 1995 — up 30 percent in less than a decade.

Of that total, environmental regulation is estimated to cost $221 billion a year, second only to a broadly defined category of “economic regulation.”

The SBA also reports that environmental regulation is the leading regulatory expense for businesses with fewer than 20 employees, at $3,296 per worker.

Overall, regulatory costs are 45 percent higher for small businesses than for larger firms, and environmental regulations are the “main cost drivers in determining the severity of the disproportionate impact on small firms,” according to the SBA. Compliance with environmental regulations costs 364 percent more for small firms than large firms.

Let's see, I can start a business in the US and deal with this crap or I can set up shop in Juarez and not deal with any of it?


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