Obama’s Red Tape Problem

The president’s bureaucracy has ignored his executive orders to reduce red tape. The number of economically significant regulations and their costs has increased, while promises of regulatory relief have gone largely unfulfilled.

White House Claim #1: Fewer Regulations

• President Obama did issue fewer regulations in his first three years than President Bush did in his first three years. But that does not tell the full story. During his first three years, President Obama finalized 230 economically significant regulations (having an impact of $100 million or more) compared to President Bush’s 151. (A 52% increase in economically significant regulations)

White House Claim #2: Lower Regulatory Costs

• The median annual cost for regulations under President Bush was $5.11 billion, with median benefits of $46.71 billion. In contrast, the median annual cost for President Obama’s rules is $8.05 billion with median benefits of $35.61 billion. (A 58% increase in regulatory cost and 24% decrease in benefits)

White House Claim #3: Reducing Regulatory Burdens

• Last year, the president finalized less than $200 million in deregulatory actions and repealed only one economically significant rule (on spilled milk). The president claims to have identified more than $10 billion in regulatory savings. (A 2% regulatory success rate)