The day before the election \u2013 the day FBI Director Comey again cleared Hillary Clinton — the market turned around a nine-day losing streak and jumped 400 points.<\/p>\n CNN explained, \u201cMonday’s dramatic rally was the clearest evidence yet that Wall Street feels more comfortable with the idea of Clinton winning than Trump.\u201d In October,\u00a0Politico<\/em>\u00a0summed up expectations<\/a>\u00a0with this headline: \u201cEconomists: A Trump win would tank the markets.\u201d Oops.\u00a0\u00a0<\/strong><\/p>\n What has changed? Investors believe that Trump will not only cut corporate taxes\u00a0but are also optimistic that he will \u201cDrain the Swamp.\u201d In a recorded message outlining priorities for his first 100 days in office, he vowed to pass an executive order demanding that for every new rule adopted, two must be junked.<\/p>\n He explained, \u201cRegulations have grown into a massive job-killing industry \u2013 and the regulation industry is one business I will absolutely put to an end on day one.\u201d<\/p>\n A man holds up a “Drain the Swamp in Washington DC” sign as Republican presidential nominee Donald Trump attends a campaign event on the tarmac of the airport in Kinston, North Carolina, U.S., October 26 2016.<\/span> Reuters\/Carlo Allegri<\/span><\/span><\/span><\/p>\n Trump told the staff of\u00a0The New York Times<\/a><\/em>\u00a0that on the campaign trail, he met numerous small business owners who said that the ballooning regulatory mess has made their lives impossible. They advised that if he really wants to goose economic growth, he must cut back the red tape that soaks up managers\u2019 time and money.<\/p>\n Trump apparently intends to do just that, not only through his promised executive order\u00a0but also through the people he has chosen for his cabinet. Rex Tillerson, Wilbur Ross, Andrew Puzder, Betsey DeVos, James Mattis, Mike Pompeo, Linda McMahon, Tom Price \u2013 these are people who know their material, who come with a plan. And that plan will focus on streamlining our rules and creating jobs \u2013 but not in D.C.<\/p>\n Remember in 2008 how Obama chose not one private sector graduate to serve in his White House? Trump is at the other end of the spectrum. We have moved out of the Ivory Tower and into the real world. Some are billionaires, some are politicians or generals, many are controversial, but they have this in common: they have real-life experience, they are willing to think outside the box and ready to buck the Washington establishment.<\/p>\n Why is challenging the status quo so important? Not only because voters have indicated a real appetite for change, but because the regulatory python is slowly squeezing the life out of our industries and businesses. The government\u2019s rule book, the Code of Federal Regulations, has grown 13 percent under Obama\u2019s presidency, to 179,000 pages.<\/p>\n Since 1976 that collection of rules has more than doubled. Creating and overseeing new red tape has spawned the worst of cottage industries; it is not an accident that\u00a0four of the wealthiest five counties in the country are suburbs of D.C.<\/a>The blooming season for special interests is year-round.<\/p>\n At a conference convened by Common Good last week in Washington titled, \u201cDrain the Swamp? Regulatory Reform Under President Trump,\u201d one participant claimed that we are all \u201cnon-compliant.\u201d That is, under the vast, complicated overarching dome of rules that govern our lives, we cannot avoid breaking the law in some way.<\/p>\n Another quoted a study by George Mason University concluding that between 1980 and 2012 the spewing of rules has cut the economy by 25 percent and cost 32 million jobs.<\/p>\n What can be done? Pessimists including\u00a0The New York Times<\/a><\/em>\u00a0dismiss Trump\u2019s ambitions about \u201cdraining the swamp,\u201d noting that other presidents have tried and failed. For\u00a0The Times<\/em>, the Beltway Bureaucracy is more wetlands than swamp \u2013 protected turf.<\/p>\n But Trump is taking no options off the table. Nor should he. It is not only businesses that are suffering under the regulatory smog; as we embark on an infrastructure renewal program across the country the increased complexity of getting anything done will drive up costs and diminish outcomes.<\/p>\n Phillip Howard, head of Common Good,\u00a0argued in an op-ed in\u00a0The Washington Post<\/em><\/a>last week that the permitting process has become a nightmare. It often takes more than a decade to acquire permits necessary to push forward on a new building project complicated by warring agencies and then subsequent lawsuits. Delays drive up costs and can harm the environment by allowing transportation bottlenecks, for instance, to persist.<\/p>\n Regulatory reform appears to have bipartisan backing, and at the Swamp conference, numerous proposals to break the logjam were put forward. Because we were in DC, some of the proposals actually recommended creating\u00a0new<\/em>\u00a0federal agencies or committees to oversee the paring down of costly regulations. Some saw the irony. But it is true that the president has become the regulator-in-chief, spurred on by the agencies. Congress has done little more than sit back and occasionally lob in a protest when a new rule threatens a friendly beast.<\/p>\n Consequently, Philip Wallach of Brookings and Kevin Kosar of the R Street Institute have proposed a Congressional Regulation Office in order to restore some balance of power lost to the expanded executive branch. They argue that the CRO would operate like the CBO, but instead of reviewing budgets, they would be tasked with reviewing regulations.<\/p>\n Phillip Howard recommends the government\u00a0pull back from micro-managing<\/a>, and put people back in charge of decision-making. He argues that our problem is not too many rules but rather that we have decided that \u201chuman responsibility should be replaced by what is called \u201cclear law.\u201d By striving to prescribe every possible good choice, and proscribe every possible evil, U.S. regulation became an obsessive exercise in micro-management.\u201d<\/p>\n Trump\u2019s \u201ctwo-for-one\u201d approach has been adopted even more aggressively in Britain \u2013\u00a0 one in and three out \u2013 and has had some success, according to Howard. The plan appeals, in that it would make lawmakers and regulators accountable for excavating the swamp.<\/p>\n Speaking to the Economic Club in October, Trump rejected the prevailing pessimism about the future growth of our economy. He vowed to hire people with proven track records to run the federal government who were ready, as he so colorfully puts it, to \u201cdrain the swamp.\u201d It won\u2019t be easy, but it\u2019s vital to refreshing the country\u2019s animal spirits, and the stock market loves it.<\/p>\n<\/div>\n This story was originally published by \u00a0The Fiscal Times<\/a>.<\/p>\n ___![\"\"](\"https:\/\/stateofthenation2012.com\/wp-content\/uploads\/2016\/12\/Screen-Shot-2016-12-22-at-1.54.26-PM.png\")
<\/a>To the dismay and puzzlement of disgruntled liberals, the Dow Jones Index has soared nearly 9 percent since Donald Trump was elected president on November 8. The Russell 2000 Index of small-cap stocks has jumped 15 percent. That was not expected.<\/p>\n
\nhttp:\/\/www.businessinsider.com\/donald-trump-federal-regulations-businesses-2016-12<\/p>\n