ABSTRACT

How Repeal of #NeverNeeded Regulations Can Help Responses to the COVID-19 Crisis: 'Reforms to Enable an Effective Response, Improve Resilience, and Reboot the Economy'   [open pdf - 0B]

From the Document: "A number of factors are combining to stress the American economy in the spring of 2020-- the global and domestic effects of the COVID-19 [coronavirus disease] pandemic, an oil price war between Saudi Arabia and Russia that is already harming the American oil and gas sector, and a possible global correction in stock markets that many believe is overdue. Taken together, these factors constitute the greatest threat to the U.S. economy since the 2008 financial crisis. However, the urgency of addressing the COVID-19 pandemic makes normal 'stimulus' policies to jumpstart the economy potentially counterproductive. Such policies attempt to stimulate more economic transactions between people. However, if the disease is spread by people interacting with each other, increased person-to-person economic interaction is not necessarily desirable from a public health perspective. Therefore, any policy response to the economic impact of the COVID-19 crisis will need to be more carefully considered than during previous economic crises. In fact, much of the federal stimulus spending after the 2008 financial crisis was ill-targeted or even wasted."

Report Number:
On Point No. 263
Author:
Publisher:
Date:
2020-04-07
Series:
Copyright:
Competitive Enterprise Institute
Retrieved From:
Competitive Enterprise Institute: https://cei.org/
Media Type:
application/pdf
URL:
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