CEI - Alcohol Tax, Trade and Regulations for Small Business

San Francisco's Mayor Opposed to Alcohol Tax


San Francisco Mayor Gavin Newsom recently vowed to veto plans for an increased alcohol tax.


In Open Market, CEI's Director of the Insurance Studies project Michelle Minton praises the decision because the tax would be bad for the city and state's economy.


"California’s wine and alcohol industry is a healthy and vital parts of the state’s economy. This, unfortunately, means it is a prime target for politicians who would rather raise taxes than cut spending.  But, while  the proposed tax may temporarily fill the coffers, it will result in those wholesalers and distributors charging restaurants, vineyards, and breweries and ultimately, consumers more."




Tricks Against Trade


Public Citizen’s Global Trade Watch is now taking a new stance against free trade agreements (FTAs), though not by their usual rhetoric that they cost jobs and a "race to the bottom."  The group just published a "study" purportedly showing that exports to countries that have free trade agreements with the U.S. showed less export growth than did exports to countries that don’t have FTAs.


Fellow at the Competitive Enterprise Institute Fran Smith dissects the "study" and explains why it has several analytical flaws.


"Despite what I consider are considerable problems with this report, it’s bound to be used by the anti-trade forces arming themselves for future battles on the pending FTAs with South Korea, Colombia, and Panama.  Betcha too the report will be used in the lead-up to the November elections, as trade-bashing seems to be becoming one of the defining Democratic issues."




Regulations and Small Business


The Senate votes this week on a small business tax-break bill which also contains controversial provisions to boost community-bank loans to small business.


Today on BigGovernment, CEI's vice president for policy and director of technology studies Wayne Crews outlines several regulations that impact a small business as it grows.


"One tries in vain to argue that the answer to recovery is not to artificially stimulate anything, or to overrule prices and rates in the marketplace; those are signals about underlying realities to heed and allow to play out. But beyond that, we must cut regulations that paralyze business and job creation."