How Red Tape Silliness from Government Bureaucracies Stifles Growth and Wastes Resources

At the recent global climate gathering COP28, 22 countries including U.S., Canada, France and U.K. pledged to triple nuclear power capacity by 2050. Will it happen? Within days of the December 1 announcement I was reading criticisms of the idea. I recently read that in this country, nuclear energy regulations and red tape are 100 times more stringent than other power generation systems. 

The other day Reason magazine ran a headline stating Biden Issues 'A.I. Red Tape Wishlist.' The subhead reads, "Biden's new executive order will slow the development and deployment of artificial intelligence technologies." 

When will they "get it"? Their "intentions" are always good, but realistically, it's results that matter. 

Here's the opening paragraph of the story:

"The National Institute of Standards and Technology is charged with setting up the additional safety standards with which the AI developers are supposed to comply. Complying with such reporting requirements will likely slow down the process of safety and security testing undertaken by Big Tech developers while at the same time driving out smaller competitors who cannot afford the costs of dotting regulatory i's and crossing bureaucratic t's."

* * * 

When it comes to the economy or troubles in our cities, name a problem, any problem, and it would not surprise me to have been either created or exacerbated by government interference and "red tape." Here are some of the ways bureaucratic rules are a drag.

Hindered innovation and progress
Stringent regulations and complex approval processes can stifle innovation, particularly in fast-paced sectors like technology and healthcare. Budding entrepreneurs may get bogged down in paperwork and permits, discouraging them from bringing their ideas to life.

Waste of time and resources
Navigating red tape can be incredibly time-consuming for both individuals and government agencies. Filling out endless forms, attending unnecessary meetings, and complying with bureaucratic procedures can divert resources and personnel away from more productive activities.  (See: The F-35 Boondoggle.)

Slow and inefficient response to crisis
When disaster strikes, natural or otherwise, navigating the maze of regulations and approvals can cripple the speed and effectiveness of relief efforts. Delays in bureaucratic procedures can exacerbate the initial damage and leave people suffering for longer. Or worse, decisions are made quickly with no plan as regards implementation. The "heroic" posturing results in the public having less confidence rather than more as regards their elected officials. 

Unequal access to resources and opportunities
Bureaucracy can disproportionately affect marginalized communities and individuals. Complex application processes and lack of transparency can create barriers to accessing essential services like healthcare, education, and social support, perpetuating inequalities and hindering upward mobility. Just being poor is a barrier. When complicated red tape is generated by well meaning bureaucrats, the haves are armed with CPAs and accountants. The masses get strangled while those with means go merrily on their way.

Loss of public trust and confidence
Frustrating experiences with bureaucratic hurdles erodes public trust in government institutions. Delays, inefficiency, and a perceived lack of accountability all work together to breed cynicism and disillusionment, reducing cooperation and participation in civic life. (I have a number of examples I could cite here. Let's start with "Do Not Call" lists. What a farce.)

* * *