Government by Waiver

http://www.futureofcapitalism.com/2010/11/government-by-waiver

Libertarian law professor Richard Epstein has a new Forbes column up on "Government by Waiver":

Waivers are by definition an exercise of administrative discretion that benefits the party who receives its special dispensation. Yet nothing in ObamaCare explains who should receive these waivers or why.

The dangers from this uncertainty are enormous. Make no mistake about it, a waiver gives the favored organization a competitive advantage over its rivals. But it is not only one applicant that pulls out all the stops. Its competitors often follow suit while simultaneously trying to block the waiver for the original applicant. Administrative expertise quickly takes a back seat to old-fashioned political muscle and intrigue....Economically, the high fixed costs of administrative compliance drive small firms to seek takeover by powerful larger firms whose deeper purses and better political contacts help them weather the storm.

by Editor  |  Nov 23, 2010 at 2:56 pm Related Topics:  Education, Health Care receive the latest by email: subscribe to the free futureofcapitalism.com mailing list