How Govt. Helps Entrenched Businesses Keep People Who Want To Work Out Of A Job
The creep of crony capitalism keeps people who want to work from working -- like in the case of stay-at-home moms who want to watch over others' kids (in their home). This is how humans have been caring for children for centuries upon centuries. No "license" was required -- until now, in some states.
Mark V. Holden writes at the WSJ about the scam of occupational licensing, quoting Thomas Jefferson: "The natural progress of things is for liberty to yield and government to gain ground."
Earlier this year the White House released a report detailing how occupational licensing laws affect the economy: "more than one-quarter of U.S. workers now require a license to do their jobs" and "the share of workers licensed at the State level has risen five-fold since the 1950s."If that sounds benign, consider that licenses for low- and middle-income professions on average cost more than $200 and require nine months of training and at least one exam, according to the Institute for Justice. There's scant evidence that these hurdles improve quality or safety, so why does government make it so difficult for Americans to improve their lives by plying a new trade?
It takes 372 days on average to become a licensed cosmetologist, but only 33 days to become an emergency medical technician, known as an EMT. In several states, a hair-braiding license requires 1,500 hours of training and multiple exams. For those with limited means, that may prove impossible.
What the article doesn't mention is that hair braiding -- for black hair -- is not even what's taught in the cosmetology training! So the state is forcing people to spend money to train that will not even prepare them for their job.
Last year the city council of Washington, D.C. passed a measure requiring CrossFit and other fitness trainers to register with the mayor's office and pay a fee. But it was heartening in September to see the council take steps to scrap the idea of requiring them to obtain a license from the city.Who pushed for these laws? The Board of Physical Therapy, a little-known agency within the D.C. Health Department charged with regulating the practice. This board, composed mostly of physical therapists, is a textbook case of a special interest working with the government to restrict competition.
...The harm of licensing rules shouldn't be underestimated: By one assessment, such regulation has prevented the creation of nearly three million jobs and lowered entrepreneurship rates. Instead of licenses, states could require certification, a lower qualification that doesn't bar outsiders from offering a similar service.
The thing is, there should be no punishment for the working-while-uncertified (except in certain dangerous professions, like if you are "practicing" "medicine"). I should be able to choose to patronize an "uncertified" businessperson if I want, and so should you. Or, you can choose to believe that payment to the government of licensing or certification fees means competence.
Increasingly, looking to the crowd has become a form of vetting -- seeing if the Uber driver or restaurant has good reviews. (Uber dumps drivers who don't attain a certain minimum review.) This, not looking to the state for a rubber stamp, is increasingly how businesses will be judged by people looking to patronize them.








"The creep of crony capitalism keeps people who want to work from working -- like in the case of stay-at-home moms who want to watch over others' kids (in their home). This is how humans have been caring for children for centuries upon centuries. No "license" was required -- until now, in some states."
This is false when comparing modern daycare with the practices of long ago.
Your "humans" cared for the young of others they knew, with no advertised pricing and no business beyond the immediate neighborhood. This is grossly different from having a professional drop off her kid on the way in to work fifty miles from home; there is no community bond in the modern model.
Radwaste at December 9, 2015 11:53 AM
Raddy, that's true as far as it goes, but... the modern model is itself a creation of government intervention. When I was a kid, there was at least one day care in every neighborhood. Yes, they were businesses operated for profit. But they were also part of the neighborhood; usually it was someone running one out of their home. They were part of the neighborhood. The modern model, by making it very expensive to operate a day care, put all of the neighborhood operators out of business. It's true that nowdays the day care operators have no connection to the neighborhoods they serve, but that's because the government wanted it that way.
(I'll add that, at least around here, there are hardly any for-profit day care centers remaining. Most of them are either church operated, or they are ones run by the larger employers in town as an employee benefit.)
Cousin Dave at December 9, 2015 1:32 PM
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