President Biden’s $1.9 trillion stimulus plan for the U.S. economy has received a tremendous, if unsurprising, amount of attention in the past week. But investors would do well to remember that the economy will also be majorly affected by potential regulatory changes. In particular, three areas are likely to be affected: the environment, the pharmaceutical industry and the technology sector.
Nicholas Sargen, a lecturer at the University of Virginia Darden School of Business and economic consultant, offered his thoughts on market-based solutions, a bipartisan bill that could lead by example, and the importance of “supporting the digital revolution in a way that upholds democratic principles.” Read more in his op-ed for The Hill.
“It is easy to overlook the impact of regulations on the economy because they are inherently difficult to quantify. Federal agencies are only required to conduct cost-benefit analyses on rules deemed ‘economically significant,’ which are defined as having an annual effect on the economy of at least $100 million.”