Subscribe to AMN
About Us
Contact Us
Advertise
 
SBA Study Finds Small Businesses Impacted Most by Government Regulation
September 28, 2010
|
From AAIA Capital Report

WASHINGTON, D.C. -- The Small Business Administration (SBA) has released a report that found small businesses bear a larger burden of federal regulations than large businesses. Titled "The Impact of Regulatory Costs on Small Firms," the report found that small businesses defined as employing fewer than 20 employees face an annual regulatory cost of $10,585 per employee, which is 36 percent higher than the regulatory cost facing large firms, which is defined as firms with 500 or more employees. 

The report, prepared by Nicole V. Crain and W. Mark Crain of Lafayette College, further found that the annual cost of federal regulation in the United States increased to more than $1.75 trillion in 2008.

“Had every U.S. household paid an equal share of the federal regulatory burden, each would have owed $15,586 in 2008,” the authors noted.

By comparison, the report found that the federal regulatory burden exceeds by 50 percent private spending on health care, which equaled $10,500 per household in 2008. 

A copy of the report can be found here.