Business
Every Federal Regulator Destroys 138 Jobs

From the Brownstone Institute
By
This lost output is made of jobs and businesses that were never started. Or were stunted by strangling regulations — mom and pops chased into bankruptcy as collateral damage to new regulations — say, a diner forced to spend $30,000 on a low-energy exhaust fan.
An Auburn University study says every single regulator destroys fully 138 private sector jobs every year you keep him on the job.
With nearly 300,000 federal regulators, the shock is that we still have any jobs at all.
The Two Scariest Words in the English Language
A lot of the excitement around the Department of Government Efficiency — DOGE — focuses on the dollars saved. But more important is all the things the federal government destroys with those dollars.
Specifically, the millions of jobs destroyed by the two scariest words in the English language: federal regulators.
A few weeks ago I mentioned how DOGE under Elon and Vivek is taking aim at the regulatory mothership that strangles the American economy and fuels the totalitarian administrative state — you may remember it from Covid.
A mother ship that is oddly enough unconstitutional according to a pair of recent Supreme Court decisions — Loper Bright Enterprises v Raimondo and West Virginia v EPA.
I asserted this could unleash the economy like nothing we’ve seen in the past century.
And the reason is because it’s hard to overstate just how destructive regulations are.
Every Regulator Destroys 138 Jobs
One 2017 study by the Phoenix Center and Auburn University found that every single full-time regulator destroys 138 jobs.
GDP-adjusted to today, that translates to $16.5 million of economic output. For a hundred-thousand dollar bureaucrat.
This lost output is made of jobs and businesses that were never started. Or were stunted by strangling regulations — which are generally bought by big corporations specifically to strangle small competitors.
Along with mom and pops chased into bankruptcy as collateral damage to new regulations — say, a diner forced to spend $30,000 on a low-energy exhaust fan.

So it’s not the bureaucrat’s hundred thousand salary that matters. It’s the 138 jobs he takes out. Every single year you keep him around.
In fact, you could fire him, keep paying him for life, and still put a hundred families in the middle class.
In recent videos I’ve mentioned research saying one dollar in taxes destroys 3 dollars in GDP. A regulator blows that out of the water — each dollar in regulator salary destory 112 dollars in output.
Given there’s roughly 288,000 full-time federal employees involved in regulatory activities, that implies an annual cost of regulation of around $5 trillion. One-fifth of our entire economy.
This means DOGE slashing tens of thousands of regulations could spark Morning in America even if we keep every last one of them on the payroll.
The Top 3 Regulatory Offenders
The worst 3 regulatory offenders are the EPA, which prey especially on small businesses least able to afford their never-ending mandates.
Second is securities mandates — namely Dodd-Frank and Sarbanes-Oxley — that have all but closed public markets to start-ups and shelter banks and insurers from competition.

And labor regulations — namely FLRA, NLRB, an alphabet soup including Obamacare mandates and occupational licensing. There are brutal for small businesses that might take a gamble on marginal workers but are locked in.
And they raise the cost of hiring to the point that companies downsize or move to China to survive.

Of course, these are just the start. The regulatory code has grown like a monster for a hundred years in literally every domain you can imagine, from braiding hair to collecting rainwater on your property to giving health advice — which is illegal unless you’re a doctor.
And, my personal favorite, the regulatory mandate to literally add poison — ethanol — to any alcohol that’s not taxed, including mouthwash. In case you thought the federal government would never poison you on purpose.
What’s Next
Deregulation is central to Trumponomics — low inflation and fast growth.
Because the best way to do both is to reduce the federal burden — the spending, sure, but above all the forest of regulations strangling our economy. Even if DOGE doesn’t manage to save a penny, gutting the regulatory state will pay us back 138-fold.
Republished from the author’s Substack
Business
Biden Admin Spent A Trillion Taxpayer Dollars To Embed DEI Across Government, Study Says

Digging for DEI Dollars: Watchdog Report Identifies 460 Programs Across 24 Federal Agencies
The Functional Government Initiative and the Center for Renewing America identify at least a trillion dollars’ worth of divisive, identity-based programs and policies among the federal thicket and make suggestions that could ensure they don’t come back.
On his first day back in office, President Trump issued an executive order to eliminate “radical and wasteful” Diversity, Equity, and Inclusion (DEI) “programs and preferences” from the federal government. The Biden administration embraced this “woke” agenda and embedded it across the executive branch. Ensuring these programs do not make a comeback will take a sustained effort.
To help the administration in this task, and to help educate the public on the scope of the problem, the Functional Government Initiative (FGI) and the Center for Renewing America (CRA) have published DEI Spending in the Biden Administration. This report traces the Biden administration’s web of DEI programs and influence throughout the government, provides numbers on how much money these programs and initiatives wasted, and offers options for Congress to consider that could root out DEI ideology permanently.
A crucial guide to uncovering the myriad DEI expenditures, both small and large, were the “Equity Action Plans” (EAPs) that President Biden demanded across the government. The Biden administration claimed that these plans were designed to identify and remove barriers keeping federal resources from “marginalized” or “underserved” communities, particularly in areas like procurement, contracting, and grant opportunities. In reality, the systemic focus on DEI poisoned federal governance, contributing to the substantial increase in related spending and diverting resources toward controversial policies, away from agency missions. The Biden administration forcibly inserted the language of DEI into every corner of the executive branch.
The study identified 460 programs across 24 government agencies that diverted resources to DEI initiatives. At least $1 trillion was infused with DEI principles. Here are some examples taken from various EAPs:
- The Defense Department planned to “Integrate environmental/economic justice tools.”
- FEMA found the need to “Install equity as a foundation of emergency management.”
- The Department of Labor “must embed equity in a sustainable manner that recognizes the multiple and overlapping identities held by workers.”
President Trump’s swift actions and executive orders stopped these efforts. To ensure a future president can’t just reverse course upon taking office, Congressional action could banish DEI philosophies for good. Our report includes suggestions for lawmakers to consider for eliminating DEI and other radical ideologies—detailed legislative proposals that could prevent the resurrection of poisonous ideas and practices in our national government.
Wade Miller, Senior Advisor for CRA, issued the following statement:
“DEI is deeply rooted throughout all aspects of the federal government, and it needs to be eliminated completely. Thankfully, the Trump administration has already embarked on a vitally necessary complete audit of each and every government program. We offer, in this report, what we hope are additional resources and tools that the new administration and Congress can use to identify, destroy, and permanently remove DEI from the federal government.”
Roderick Law, spokesman for FGI, issued the following statement:
“The dual study could both expedite the elimination of DEI from the executive branch and show just how quickly pernicious ideologies can spread inside the government. The nature of DEI is both divisive and anti-American, so why force it onto the military, the Commerce Department, or the EPA? After President Biden lavishly funded and pushed these controversial principles into every possible area of government, our hope is that raising these questions and offering Congress and responsible executive branch officials tools and suggestions can keep it from happening again.”
Business
Sec. of State Marco Rubio announces major overhaul at USAID, cancels 83% of programs

MxM News
Quick Hit:
After a six-week review, Sen. Marco Rubio announced the cancellation of 83% of USAID programs, citing wasteful spending and harm to U.S. national interests. The move eliminates 5,200 contracts worth tens of billions of dollars, with remaining programs shifting under the State Department for better oversight. Rubio thanked staff for their efforts in implementing what he called a “historic reform.”
Key Details:
- Sen. Marco Rubio revealed that 5,200 USAID contracts have been canceled after a six-week review.
- The cuts affect tens of billions in foreign aid, which Rubio argued was not serving U.S. national interests.
- The remaining 1,000 programs will be administered under the State Department with improved oversight.
Diving Deeper:
In a sweeping reform of U.S. foreign aid spending, Sen. Marco Rubio (R-FL) announced on Monday that the federal government has canceled 83% of programs administered by the United States Agency for International Development (USAID). According to Rubio, the decision followed a six-week review that exposed extensive waste, inefficiency, and, in some cases, harm to core U.S. national interests.
“The 5,200 contracts that are now canceled spent tens of billions of dollars in ways that did not serve, and in some cases even harmed, the core national interests of the United States,” Rubio stated. His move reflects growing scrutiny among conservatives regarding how taxpayer money is used in foreign aid, particularly under USAID, which has long been criticized for funding controversial projects abroad.
Rubio clarified that approximately 1,000 remaining programs—just 18% of USAID’s previous operations—will now be administered under the State Department. This transition, he noted, will ensure these programs are managed more effectively with greater oversight from Congress. His announcement signals a significant shift in how the U.S. approaches foreign aid, moving toward a more targeted and strategic approach rather than broad, unchecked spending.
The decision has drawn praise from fiscal conservatives who have long argued that USAID’s operations lacked accountability and often funded programs that failed to advance American interests. Critics of the agency have pointed to cases where U.S. foreign aid dollars went to projects promoting ideological agendas or funding corruption in foreign governments.
Rubio thanked the Department of Global Engagement (DOGE) and USAID staff who worked tirelessly to carry out what he described as a long-overdue reform. The announcement is likely to spark debate in Washington, as Democrats and globalist policymakers have traditionally defended USAID’s expansive role in international development.
The restructuring of USAID under the oversight of the State Department represents a dramatic reimagining of America’s foreign assistance strategy—one that prioritizes accountability and ensures taxpayer dollars are spent in direct service of national security and diplomatic goals.
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