The cost of U.S. regulations is now larger than Germany’s economy, amounting to a $4 trillion loss to the American economy, according to a new study by the Mercatus Center at George Mason University.
The study, released Tuesday, found that regulations over the past several decades amount to a loss of $13,000 for each American worker. …
Researchers at Mercatus studied data from 22 industries from 1977 to 2012, finding regulations have distorted “investments choices that lead to innovation” and have “created a considerable drag on the economy.” The result: an average shrinking of the economy by 0.8 percent a year.
“If regulations had been held constant at levels observed in 1980, the American economy would have been 25 percent larger than it was in 2012,” the report said. “This amounts to a $4 trillion loss in 2012 for the American economy or $13,000 loss per person, a significant amount of money for most American workers.”