Meraglim Blog

As Trump eases the regulatory burden, California’s ready to make it worse.

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn

I have not been a big fan of the Trump tax cuts. I like tax cuts as well as the next citizen, but these tax cuts were poorly designed. The benefits go to big business and the rich rather than everyday Americans.

That might be OK if businesses would use the money to invest in expanded capacity and to create jobs, but the early evidence is that they’re using the tax savings for stock buybacks and dividends; another benefit for the rich that does little for the real economy. So, I don’t expect much economic stimulus from those tax cuts.

But, where Trump has made a positive difference is in regulation. Trump’s repeal of regulatory burdens does encourage business expansion and job creation, especially in small-and-medium sized business. The problem is that for every regulation that Trump repeals, it seems that California or some other progressive state comes up with a new one.

This article is a good example of that trend. California is in the process of passing a law that will require all new homes built in California after 2020 to have solar panels on the roof. That sounds praiseworthy in terms of clean energy generation, but it raises a host of legal questions.

Will homeowners own the solar panels or is this just a kind of forced easement of government solar panels on private property? What happens to the electricity – does it go to the homeowner or is it sold to the grid in exchange for a rebate check? And, what happens in a crisis such as a power outage or grid collapse? Will the government just take however much electricity it wants out of “necessity” and leave homeowners to fend for themselves?

Beyond those questions is the simple fact that this will make the cost of building homes more expensive and will reduce the affordability of housing to everyday residents of California. Trump may be reducing the costs of regulation, but California is increasing them just as fast. It’s not clear the U.S. economy is much further ahead, all things considered.

Accredited investors interested in learning more about Jim Rickard’s private placement in the world’s first predictive data analytics startup that combines human and artificial intelligence with complexity science should check out his offering at Meraglim Holdings. Click the link to learn more.

IF THE SCIENCE IS NOT ON YOUR SIDE, JUST TRY THREATS

It’s clear that good science does not support the extreme claims of the climate alarmists. Yes, there is such a thing as climate change, but it’s slow, difficult to predict and almost impossible to model because of the complexity of the process. The climate alarmists have grabbed most of the headlines for the past ten

Read More »

WHY TRUMP WILL WIN REELECTION: NOT POLLS OR PUNDITS; JUST COMMON SENSE

Political analysts use polls, betting odds, historic trends and other inputs to make their (usually wrong) political predictions. We all remember that “experts” said Hillary Clinton would win the presidency in 2016 (they gave her a 92% chance on the morning of the election), and that the UK would vote to “remain” in the EU

Read More »

HERE’S ANOTHER ELITE WITH ANOTHER PLAN TO TAX AWAY YOUR WEALTH

The elites never rest when it comes to devising new ways to take your money through taxes, inflation or outright confiscation. The latest Trojan horse the elites are riding to take your money is climate change. The climate does change over long periods of time for reasons that are not well understood except that they

Read More »

KRUGMAN SHOWS HE KNOWS LITTLE ABOUT ECONOMICS AND LESS ABOUT FINANCE

We already knew that Nobel Prize winner Paul Krugman knows almost nothing about economics. Now, we see from this article that he knows nothing about banking either. Krugman claims that the repeal of Glass-Steagall and the actions of banks in general were not the cause of the 2008 financial crisis. The conventional wisdom is that Lehman Brothers,

Read More »
Scroll to Top