I know, I know, we’ve been told all our lives that the mounds of regulations business must deal with (and the consumer must pay for) are there for our protection. That if it were not for these laws, children would be working 20 hour days in sweatshops and cars would have wheels which fell off every time we stopped at a stop light. But it’s not true. In fact the main purpose of regulations (though not the sole purpose) is to create barriers to entry for competitors.
(From The Daily Caller)
“For the most part, [consumer protection laws] are not helping consumers at all, and the stifling effect of these laws are constantly suppressing innovation throughout the country. And of course suppressing small business growth and all of those other things that we would like to see,” Dana Berliner, litigation director and lawyer for the Institute for Justice, said.