How excessive govt regulations are killing us
Credit to Author: REY ELBO| Date: Mon, 14 Jan 2019 16:16:34 +0000
ONE of the world’s first popular government regulation was the Locomotive Act of 1865, also known as the Red Flag Act enacted in the United Kingdom. Such law regulated the operation of automobiles and other “horseless carriages.”
The red flag law minimized the high rate of accidents at the time. Involved then were cars and locomotives described by one newspaper as “tearing along the street at a lively rate, dodging people and teams” resulting in damage to property and loss of countless lives.
But exactly, what is a red flag law? It’s a law that regulated the operation of locomotives in the past. If applied today, it will appear ludicrously absurd and excessively backward, if not downright stupid. But no matter how backward it is, the Philippine National Railway is still using red flags to warn pedestrians and motorists of an incoming train in some crossings in the absence of an automatic or mechanized steel bar, or sometimes a bamboo pole – a manifestation of our low regard to public safety.
Using red flags, the railway workers back then were tasked to warn horse riders of an approaching locomotive and signal the rider to stop in a safe distance to allow the train’s passage and avoid terrorizing the horses. Remember that horses used to be the basic means of transportation. That also explains why during those days, horse manure was the main reason for visual and air pollution.
In Detroit, the years 1900 to 1930s were described as the “years of driving dangerously,” says Bill Loomis in The Detroit News. “Before the stop sign was invented, many lives were lost, but Detroit led the way in bringing order from chaos” which is an excellent example of government regulation.
Detroit, known as the “motor city” because of its link with the auto industry was “the first city to use stop signs, lane markings, one-way streets, and traffic signals,” and “among the first to have a police squad dedicated to traffic control, and was second to New York City in creating a judicial court for traffic violations.
Those were the years when government regulations were deemed absolutely necessary to prevent chaos. Even today, we need the government to intervene to protect the majority’s interest. We need laws, if not executive and department orders to make life better for all citizens. But what if the government, in its desire to regulate and earn money for its coffer, has exceeded the boundaries of good governance?
For instance, can jeepney and bus operators reduce their fare as a strategy to beat competition? I don’t think so. It looks like the Land Transportation and Franchise Regulatory Board would not allow it, even if it’s for the benefit of the commuting public. Everything must pass through LTFRB.
How about the need for the annual windshield and plate stickers that must be paid when one is renewing his vehicle’s registration? Is it really necessary? Isn’t it that when law enforcers apprehend errant motorists, they ask for a copy of the latest registration papers and will not solely rely on checking the stickers? That’s how our annual fees keep on increasing every year.
What about the drug tests for drivers and emission tests for vehicles? To me, these are ineffective, if not unnecessary requirements when you see almost hundreds of thousands of motorists openly violating traffic rules, and buses and jeepneys blowing engine smoke into your face.
The list can go on, including the latest issue about the loss of our passport data which requires us to produce our National Statistics Office-issued birth certificate and other supporting documents every time we renew our passports. Isn’t the old passport more than enough? What happened to the integrity of our records at the Department of Foreign Affairs? It’s timely that DFA Secretary Teodoro Locsin has raised this issue recently.
Jules Gray, in his Sept. 5, 2012 article “Too Much Government Meddling?” in World Finance quotes American economist Milton Friedman (1912-2006) who “strongly believed that governments should allow the market to be free to operate naturally, without excessive intervention from politicians.” And I suppose that includes bureaucrats and other government factotums.
Friedman opined that “(t)he most important single central fact about a free market is that no exchange takes place unless both parties benefit.” It’s a win-win solution. I believe the citizenry would not mind paying something to the government, if they’re happy being treated like “kings” and “queens”, enjoying the country’s efficient soft and hard infrastructures.
More than aspiring for the oft-repeated win-win solution, we can all learn from Takeru Kobayashi, a Japanese competitive eater of hotdogs, tacos, hamburgers, pizza, ice cream and pasta. His strategy for winning many world records, including eight Guinness Records was uncovered by Steven Levitt and Stephen Dubner in “Think like a Freak” (2014).
Instead of asking “How do I eat more hot dogs?” Kobayashi reframed it to “How do I make hot dogs easier to eat?” and answered it.
In the context of this article, it’s not yet too late for us to help our government practice good governance, assuming it’s willing and ready to hear us. Our government officials, instead of asking “How could we collect more taxes?” should be ready to answer an insightful question “How can we have a better society?”
Rey Elbo is a business consultant specializing in human resources and total quality management as a fused expertise. Send feedback to elbonomics@gmail.com or via https://reyelbo.consulting
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