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McCain vs. Obama:
Another Close Race
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Get ready for a much more assertive government. The recent spate of regulatory-related actions to ease the financial and housing markets is not a onetime exception. It's more of a harbinger of what's to come as the Bush presidency ends, as Democrats take firmer control of Congress and as a new administration takes the helm with new staff and a fresh sense of purpose.
The era of big government is back, you might say. Examples are numerous, including the just-passed legislation to beef up the Consumer Product Safety Commission. It gave the agency authority to set new and tougher standards and to order recalls on all types of products from toys to lawn sprinklers to toasters to backpacks.
Next year will see a much broader regulatory push. Many states are also ramping up regulatory activity, especially in the area of environmental protection and pollution control.
The shift is a backlash to the Bush years when regulators were largely reined in by a decidedly pro-business White House, which required cost-benefit studies and other considerations before substantial regulations were implemented.
Democrats will lead the regulatory drive. They are almost certain to have larger congressional majorities in Congress after the November elections. And chairmen of oversight panels will take a fresh look at regulatory agencies to see if they are making the grade.
Both parties' presumptive nominees -- John McCain and Barack Obama -- envision wider regulatory activity post Bush. Both, for instance, see a need to set new standards on energy production, the environment and workplace safety. An Obama administration would be more aggressive, using regulatory agency rulemakings if legislation is delayed, but even McCain would shun the hands-off approach of Bush.
Limits on emissions of carbon dioxide and other greenhouse gases are a safe bet. Expect a bill imposing a cap and trade system with pollution limits that are costly for producers and users of coal, electricity, metals, chemicals, autos and airplanes.
Additional green rules are likely, too. The Environmental Protection Agency will get more staff for both research and enforcement. Democrats say Bush appointees squelched or watered down many rules, and they'll want to take a fresh look at some of them, keeping the issue of regulatory overhaul high on their agenda.
Other likely areas: Labor. Democrats will push laws making it easier for unions to organize, and they'll insist on more enforcement of wage regulations.
Foods and drugs. Recent controversies over unsafe foods and drugs will lead to a beefed-up Food and Drug Administration. Congress will pass legislation giving the agency a bigger staff and more power to regulate advertising, order recalls and levy fines.
Workplace safety. Some Labor Department agencies will get the go-ahead to give greater scrutiny to standards in use in several industries, especially mining, building, chemical plants, oil refineries, food processing, logging and freight yards. Companies can expect more than just a warning: Those running afoul of rules can anticipate fines and even criminal penalties.
Human resources. Democrats, through either legislation or regulations, will expand the Family and Medical Leave Act to cover adoptions and other situations. Some Democrats want to go further, requiring that some circumstances under the family leave law be covered with employer-paid leave instead of unpaid leave. The latter may be hard to pass, though.
And more financial industry regulations are on the horizon. Limits on speculation in oil markets are possible if prices spike again. Plus increased regulation of banks, insurance companies and stock markets is likely as a reaction to the credit crunch.
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POSTED BY: blackandgold (August 06, 2008 11:41 AM)
Rgulation + Social Welfare Promgrams + Higher Taxes = Less Buisiness Incentives, Suppressed Market Performance, and Lower Standard Of Living. But don't worry, my fellow Americans.....Uncle Sugar always has your BEST interests at heart! Right, guys?......Um, Guys?
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