Where The Economy Goes From Here

As a conservative, I have grave concerns about President Obama's re-election and its likely effects on the US economy. I have been quite afraid that we are likely to head further down the road towards a state-directed economy, much like European social democracies.

In this blog, University of Chicago economist, John Cochrane, makes a few predictions. They really aren't pretty. The most obvious; that four more years of Obama means four trillion more dollars added to our national debt.

The part of his post that troubles me the most, however, is his description of the incredible breadth of regulations which are already on tap and slated to be implemented as a result of current legislation and executive fiat. Here are his examples just dealing with the EPA:

• Greenhouse gases. Detailed industry controls focusing on greenhouse gas emissions. They're even going to regulate cow farts. Sorry, Farm Methane Emissions. It's funny unless you're a dairy farmer. Hundreds of billions
• Between greenhouse gases, much tighter mercury limits, and designating coal ash a "hazardous substance" like nuclear waste (I'm exaggerating, but that's the idea), the end of coal.
• Tight fracking regulations.
• Much tigher ozone standards. Many cities are now way over the limit.
• Cut sulfur in gas from 30 ppm to 10 ppm. EPA: $90 billion a year
• Temperature standards to protect fish in power plant cooling ponds
• Tighter standards for farm dust. Farms have to submit mediation plans.
• Water quality control for every body of water in the country.
• Strict regulation of industrial boilers ($10-20 billion)
• Formaldehyde emissions from plywood. I didn't know Home Depot was a dangerous place to hang out.  

There are a lot more examples, coming as a result of the ACA (Obamacare), the Dodd-Frank law, and other Federal laws and executive orders.

Read the whole post, but make sure you have the stomach for it. If this guy is half right, our economic future is not a happy one.