JOBS

• New Study Shows the Job Destroying Cost of Regulations:  In a recent paper by the Phoenix Center for Advanced Legal and Economic Public Policy Studies titled Regulatory Expenditures, Economic Growth, and Jobs: An Empirical Study, econometric analysis of fifty years of data found:  
• • Less Regulation, More Jobs:   “[E]ven a small 5 percent reduction in the regulatory budget (about $2.8 billion) would result in about $75 billion in expanded private-sector GDP each year, with an increase in employment by 1.2 million jobs annually. 
  • More Regulations, Less Jobs:  “On average, eliminating the job of a single regulator grows the American economy by $6.2 million and nearly 100 private sector jobs annually.  Conversely, each million dollar increase in the regulatory budget costs the economy 420 private sector jobs.”

Spending

• CBO Reveals Runaway Spending, Not a Lack of Revenue, Drives Our Debt:  According to CBO’s Long-Term Budget Analysis, without raising taxes as Democrats have called for, revenues will return to their post-World War II average of 18 percent by 2017 and remain there indefinitely.  Spending, however, will continue to grow to nearly 34 percent of GDP and drive public debt to 187 percent of GDP by 2035.  Between now and 2035, spending as a percentage of GDP is expected to grow by 70 percent compared to the 20 percent post-World War II average.

Medicare

• Kaiser Family Foundation:  IPAB Scope of Authority Unclear: The President’s Independent Payment Advisory Board (IPAB) has nearly enfettered power to control Medicare spending so it’s worrisome when the limits of its reach are unknown.  In a recent report, the Kaiser Family Foundation acknowledges “despite efforts to limit the reach of IPAB with respect to beneficiaries, there is some ambiguity in the ACA that could leave room for proposals that could directly or indirectly affect beneficiaries…It is not entirely clear which proposals would be outside the scope of IPAB’s authority.”

The Republican Plan for Job Creation and Growth

House Republicans have a plan to restore confidence and certainty to the economy and create jobs.  For more information on the House Republican Growth Plan, click here: http://www.gop.gov/indepth/jobs.

If you have any questions or would like to submit an idea for next week’s “Tri-Facta,” please contact Emily.Seidel@mail.house.gov.