Some have propounded that America is the epitome of a capitalist nation. With the largest GDP globally and generations of hard-working individuals behind it, the country has become the center of world financial markets. On the fundamental level, the country has free-market economics, a principle that is grounded in the very Constitution itself.
One might think that with such a background of incredible success, the government would not want to enact policies that would go against this foundation of free-market economics. However, this is not always the case. Rather than leave a working system to continue to work, many in the government have continually tried to resize a shoe that already fit.
Over the past several years, many Americans have become increasingly apprehensive of the encroaching power of government. As the federal government has assumed an arbitrary prerogative to interfere in the private sector at will, financial markets have become extremely sensitive to the fact that the government has expanded its intrusion into free markets.
For instance, in recent weeks, investors have been uncertain about the direction of the Federal Reserve as President Biden considers leadership changes that would be in line with his policy priorities of big government expansion and spending. The concerns of investors are not unfounded. The recent administration has increasingly embraced the policies of Keynesian economics that often prioritize government control of the economy as a key to market success.
To recognize the effects of such a posture of government control towards the private sector, one need not look any further than the nation of China. In an attempt to rein in control of financial institutions, the Chinese government banned financial institutions from trading in cryptocurrency.
This led to an 11 percent drop in the value of Bitcoin in less than 2 hours. Many have grappled with this recent spectacular decrease in the value of cryptocurrency. These are ultimately the shockwaves of government overreach being felt. This is all despite the fact that the Chinese government has no direct policy jurisdiction over the American economy.
If the Chinese domestic policies of economic interference and government control can have such a rippling effect on even the American economy, how much more danger is there when American investors have an ever-encroaching government of their own to deal with? Indeed, the United States federal government itself is proposing even more regulations for cryptocurrency that have made many investors uneasy in an already fluctuating market.
Despite the grand plans and agendas of economic bureaucrats and regulators, such plans beg the question of whether or not government oversight has a consistent track record of bringing about prosperity. If America wants a more prosperous economy, is a conglomerate of government bureaucracies really the way to achieve it? The success of free economies suggest otherwise.
“The advantage of a free market is that it allows millions of decision-makers to respond individually to freely determined prices, allocating resources - labor, capital and human ingenuity - in a manner that can't be mimicked by a central plan, however brilliant the central planner.” -F. A. Hayek
One of the dangers of an ever-evolving technological landscape is that people can often get lost in the technical weeds without looking to the practical benefit.
Such is the case when it comes to technological advances in agriculture, especially in regards to government regulation and control.
The state of Mississippi is ripe with opportunities to advance agricultural technology further. AutoProbe, for example, is a rising technology in the state that uses robotics to help gather uniform soil samples and analyze them. This enables farmers to work the land more efficiently and helps with greater crop yields.
Furthermore, farmers use drone technology to make strategic agricultural decisions from information gathered from the air. But not only does this technology enable an aerial view of farms, but drones also help find patterns of defoliation, small canopies, and color changes in crops. All of these factors impact the final crop significantly, and drones can more quickly and efficiently determine this information.
Finally, smart-monitoring technology helps farmers conserve resources and energy to most effectively produce food for consumption. Combines that would take three times as long to harvest a crop can now be done quickly and efficiently thanks to the ability to monitor rain and radar simply from one’s phone. This is even easier to accomplish with hands-free satellite guidance.
Despite these immense benefits, some policies have proved to be a boundary to the prosperity that comes from common-sense policies that allow innovative farmers to be the most effective. The problem is that many state and federal regulations on agriculture are overzealous in the mitigation of safety risks -often to the detriment of agricultural efficiency and innovation.
Take the state of California, for example. According to the California Code of Regulations, an operator must accompany all self-propelled equipment when in motion. This means that regardless of whether the machinery in question needs an operator, an operator is still required to legally handle it, depleting the purpose of the machinery being “autonomous.”
Such a policy may be put in place for the sake of safety but does not consider the practical effects as it dissuades farmers from investing in more efficient, automatic machinery. After all, why would a farmer purchase expensive autonomous machinery over manually operated machinery if regulations remove the practical benefits of automation? It simply does not stand to reason, which is perhaps why not many states have adopted the same policy.
However, unreasonable boundaries to the use of technology in agriculture do not stop with autonomous machinery. Although there may often be freedom to produce certain agricultural products using technological innovation, there have been technology restrictions on how farmers can sell those same products. The regulatory boundaries follow farmers even if they try to use certain technologies to sell what they produce.
For instance, many states, including Mississippi, have “cottage food laws” that prohibit farmers and others from using the internet to sell processed agricultural products, such as pickled products, dried fruits and vegetables, jellies, and many other goods.
This effectively stops the use of mobile apps and other technologies that would allow farmers to use the internet to sell such products to potential customers. By limiting such agricultural activities to in-person sales, there is a government-imposed boundary on farmers trying to take advantage of even basic internet technology to sell their products.
The key to moving agricultural technology policy forward in Mississippi is finding solutions to policy problems, expanding technology horizons, and giving farmers the chance to press ahead without being legally restricted to outdated methods.
Innovation has always been the key to American economic success. Giving our agriculture system the edge it needs to succeed has to be of the highest priority when legislators gather to find solutions.
Mississippi farmers should have the freedom to use technological innovation as a way to work their farms as efficiently as possible as they seek to provide a livelihood for their families. Public policy should take proactive steps to provide safeguards against technology regulations so that they have the full liberty to do just that.
Josiah Dalke is a Research Intern with the Mississippi Center for Public Policy. He is a Washington State native seeking a government degree at Patrick Henry College.
Interest in cryptocurrency, such as Bitcoin and Ethereum, has seen an increase over the last several years. People throughout the globe continue to be intrigued by the concept of a currency that has no physical backing but rather one that is fixed in cyberspace.
This has led to a new playing field that is rapidly working into the mainstream financial system. However, as this new system of currency is becoming less theoretical and more concrete in practice, there is an increasing risk for government control and centralization.
There are currently two primary approaches to digital currency: cryptocurrency and central bank digital currencies (CBDCs). Cryptocurrency is a specific kind of digital currency that holds to the principle of value through scarcity. Rather than having a fluctuating base value like paper currency, Bitcoin and other cryptocurrencies operate in a constrained system (in Bitcoin, for example, there will only ever be 21 million tokens) to establish a base value. Governing bodies do not determine this value, but it instead lives on distributed ledgers or blockchains.
CBDCs, in comparison, operate based on government oversight and centralization of resources through a central bank. This system is newer than other digital currency systems and has grown out of the potential shortcomings of the cryptocurrency system.
For example, some have argued that having a centralized and controlled digital currency system would best allow for tracking transactions between parties and maintaining a country’s capital controls. In other words, by treating CBDCs like cash, the value of the currency can fluctuate based on its variable supply. This makes it easier for the central banking system to regulate how the digital currency operates within the system, allowing for more financial control by the central government.
While the Mississippi legislature has not passed detailed legislation concerning digital currency, state and federal governments across the country have taken a particular interest in this area over the last several days.
For example, U.S. Federal Reserve Chair Jerome Powell has advocated that greater regulation be placed over cryptocurrency (if not establishing a federal CBDC) to mitigate potential risks to financial stability. This announcement came after last week’s discovery that Bitcoin’s worth had dropped nearly 30 percent after China had established new regulations upon the sector and has wavered in value since.
Many interpret these new findings as a justification to increase the government’s involvement with digital currency. However, the danger of CBDCs is that they undercut the free market principle of competition within the context of various methods of currency.
Additionally, cryptocurrency, as it stands, provides a private option that prevents the problem of inflation that we see with government-centralized currency. The mere concern of financial instability is insufficient to justify centralization. After all, as Heritage Foundation’s Stephen Moore notes, “nearly every recession and depression of the last century can be traced to government mistakes, not necessarily private ones.”
As this new system continues to develop, it is all the more crucial to keep in mind the dangers of centralization and the giving up of financial control to the government.
Josiah Dalke is a Research Intern with the Mississippi Center for Public Policy. He is a Washington State native seeking a government degree at Patrick Henry College.
In the wake of a series of high-profile cyberattacks, the world has had to respond to concerns about security issues surrounding critical vulnerabilities.
The attacks have hit multiple sectors with far-reaching implications. CNA Financial, a major commercial insurance firm, was recently hit by a massive ransomware attack, crippling its operations until a ransom was paid. In a separate incident, ransomware infected Colonial Pipeline, a fuel pipeline supplying a large portion of the eastern United States, leading to fuel shortages and economic disruption. In an additional instance, hackers attacked the Irish Department of Health, and the system has yet to be restored.
It has become apparent that in a day of cloud computing, artificial intelligence, mobile apps, and automated industry, the economy and society are tied directly into the cyber world across every sector. Consequently, cybersecurity has become more important than ever as criminal actors work harder and harder to exploit the vulnerabilities of a digitally connected world.
Cybersecurity advancements are ultimately a question of who can innovate faster—the good actors versus the bad actors. On the one hand, bad actors exploit security vulnerabilities by using innovative methods to compromise security. On the other hand, cybersecurity developers have the task of trying to stay one step ahead of the cybercriminals. These innovations require aggressive and dynamic steps to beat the hackers at their own game.
However, cybercriminals have an advantage over their cybersecurity counterparts that can often be overlooked. When they run their criminal operations, it is needless to say that they do not generally subject themselves to government policies that might burden legitimate businesses, such as paying high taxes and complying with business regulations. This gives cybercriminals an advantage.
Much of this discussion is similar to the problems with restricting law-abiding citizens from gun ownership. If the law-abiding citizens are restricted from what guns they can defend themselves with, criminals will naturally just violate those same gun laws in order to arm themselves for criminal acts.
In the same way, it is important to note that many of these cybercriminals are members of sophisticated criminal organizations that freely leverage their illegal operating practices to get an edge over their cybersecurity counterparts. While cybersecurity firms are dealing with burdensome policy hurdles such as high taxes, long regulatory approvals, and red tape, cybercriminals can operate with reckless abandon as long they are able to evade law enforcement.
In the wake of cybersecurity compromises, it is easy for government policy to try to intervene and quickly provide short-term proposals for long-term problems by demanding that companies meet certain cybersecurity standards.
Nevertheless, it is unlikely that such standards will likely be able to solve the problem fully. Regulations cannot provide a lasting solution to the dynamic world of cybersecurity. Even those companies that may be fully “government compliant” can still be vastly compromised on the cybersecurity level if they are just trying to meet minimum government standards.
While there have been many calls for expanded government involvement in cybersecurity, the vast nature of the problem gives the government a very low chance of being able to fill the gap on its own.
From a public policy perspective, it is vital to look at the bigger picture. State and national policies should be implemented to encourage innovation itself through regulatory reforms like regulatory sandboxes.
From the business policy angle, policies should be enacted that make it easier for start-ups to launch than before -including start-up cybersecurity firms. This not only lowers the policy burdens placed on cybersecurity firms and expands the amount of economic growth. It catalyzes the variation that is essential to maintain a cybersecurity ecosystem that can quickly evolve and respond to emerging threats.
New companies bring new innovations and ideas to the table. This adds to the arsenal of available security tools.
Implementing policies that promote a business-friendly environment has true potential for greater growth and advancement that carries promises of a more secure cyber-ecosystem. While regulations, tax burdens, and other barriers to tech start-ups may have been overlooked as an issue that affects the United States' ability to have strong cybersecurity, the top-down effects can be felt across every sector.
When market forces are permitted to work freely, the free society will continually develop stronger means to protect itself. This is no less true in the cybersecurity sector. An unhindered free market has the real capability to bring even more strength into the cybersecurity sector and lead the fight to out-innovate malicious cybercriminals.
I’m Matthew Nicaud, the Tech Policy Specialist at MCPP, and your host for the Tech Talks interview series. In our Tech Talks, we engage with tech leaders, policy makers, and entrepreneurs to discuss the tech world in the Magnolia state and promote public thought on key tech issues.
I recently had the pleasure of interviewing Senator Angela Hill. We discussed a variety of engaging issues related to innovation and the promotion of free market policies. Senator Hill serves as the Chair of the County Affairs Committee and the Vice-chair of the Accountability, Efficiency, Transparency Committee.
Senator Hill recently introduced two bills, SB2976, and SB2975. These bills would create platforms for innovation. Known as a “regulatory sandbox,” these platforms would allow innovators to introduce their innovations to the market without being suppressed by heavy-handed regulations.
These bills would be among the first of their kind in Mississippi and would lay a pathway for innovators to increase opportunity in the state. We recently interviewed Senator Hill to discuss these bills and how they would impact innovation in Mississippi.
Senator Angela Hill: Innovation is a critical part of maintaining a competitive economy and expanding opportunities. An economy that stagnates will decline. If the state government regulates innovators so much that they can’t even grow and test their ideas, then there is little opportunity for growth. Measured deregulation is an economic development issue as much as it is a regulatory issue. Instead of setting up more state programs, the state should get out of the way and let hard-working Mississippians generate prosperity in an open economy.
By definition, innovation is new and disruptive to the status quo in a positive way. New innovations often allow for new job opportunities, solve problems, lead to greater efficiency, and generate business growth. This is incredibly beneficial from an economic perspective. Despite all these benefits, regulators sometimes misunderstand innovators. This can lead to companies being forced to fulfill complex and burdensome regulations that stifle innovation.
For instance, Vizaline is a prime example of the state of Mississippi stifling innovation through an overzealous regulatory board that brings suits against private companies in a crony protectionist fashion. Vizaline uses publicly available land descriptions to create a geospatial rendering of property parcels through computer software. After years of litigation, the suit against Vizaline cost state taxpayers and this innovative company a lot of money. Additionally, this same board unsuccessfully sued another company prior to Vizaline, and the taxpayer was on the hook for this large bill too.
The board eventually conceded the case and changed the regulations in favor of Vizaline. Vizaline now operates in multiple states across the Southeast, yet it is troubling that the legal battle had to happen in their home state of Mississippi. This speaks volumes about why we desperately need regulatory reform in this state. We have plenty of anti-competitive statutes on the books that we need to get rid of as well as a sound check on these burdensome regulatory boards. The regulatory sandbox is a step in the right direction. We need more small business innovators to be welcomed, not hindered. Government just needs to get out of the way of innovation.
There should be safeguards in place that allow Mississippi innovators to develop their innovations and build more successful businesses. To that end, I am advocating for practical solutions that lower the regulatory burden in our state. These practical solutions address the issue through policies such as regulatory repeal, occupational licensing reforms, and regulatory sandboxes.
Matthew: What is a regulatory sandbox?
Senator Hill: It is the key solution I am using to be proactive in making Mississippi innovation-friendly. A “regulatory sandbox” program grants a waiver to the program participants, allowing them to be exempt from any unnecessary regulatory requirements while developing an innovation. I introduced two bills that put this proposal forward.
The first bill was SB2975. This bill had a particular focus on allowing for innovation in the energy sector. This would include energy management software systems, energy trading via blockchain, energy efficiency development, and other energy innovations. Although energy sandboxes have been allowed under limited circumstances in other states, Mississippi would be one of the first states to implement a regulatory platform that accommodates energy innovators actively.
The second bill was SB2976. This bill takes a broader approach and allows any innovator from any industry to be exempt from unnecessary regulations over a specified period of time during the innovation development. This would be groundbreaking legislation. A similar measure was just successfully implemented in Utah, and it received a robustly positive response from entrepreneurs in the state. There are so many Mississippi innovators that have ideas to bring to the table. We should make it easy for them to put their ideas to work by not smothering them with regulations.
Matthew: How would regulatory sandboxes benefit everyday Mississippians?
Senator Hill: Regulatory sandboxes would help by encouraging innovation to happen right here in our home state. The people of this state want to see new businesses and ideas happening in their own communities and not just in faraway corporate offices. By having regulatory sandboxes, we are providing a platform for everyday Mississippians to have a chance at pursuing their bright ideas.
Another thing to consider is the small business angle. According to the Small Business Administration, 99 percent of Mississippi businesses are small businesses. When you look at innovation development from a small business owner's perspective, many don’t have the resources necessary to meet complex regulatory requirements. Sure, big companies can often afford to meet all the excessive regulatory requirements that it takes to get their innovations approved. But even big businesses are leaving states like California that make it difficult for their innovators. In order for innovation to expand in Mississippi, state policy has to protect innovators from unnecessary regulatory obstacles.
Matthew: Could regulatory sandboxes potentially make Mississippi more economically competitive with other states?
Senator Hill: Absolutely. Regulatory sandbox programs have been successful in several states across the country and around the world. States with regulatory sandboxes have seen a consistent track record of growth and development across multiple economic sectors. For instance, several states have instituted regulatory sandboxes in the financial technology sector. They have seen companies coming to do business because of that freedom to explore technology concepts without the burden of unnecessary regulation. Other successful regulatory sandboxes that have allowed for innovation include insurance, energy, and legal services. The model has been extremely popular with start-up companies that don’t have the amount of capital it would take to meet complex regulatory requirements.
When businesses consider whether they want to come to our state (or stay in our state), many will look at how friendly we are to innovation. Other states are welcoming them with open arms. Why should Mississippi be left behind? By allowing innovators to set up shop in our state, Mississippi has the potential to tremendously grow as businesses bring their talent to the state and build our economy with their skills. This is a commonsense policy. Let’s forge ahead to make Mississippi a destination for the best and brightest innovators by removing regulatory boundaries.
You can learn more about the Mississippi Technology Institute here: https://mspolicy.org/mississippi-tech-institute/
Prohibition was ended decades ago, yet it continues to leave a lasting legacy on the state of Mississippi.
Whether you prefer beer, liquor, wine, or no alcohol at all, most folks can agree that Mississippi retains a range of laws that unfairly hamper the free market when it comes to the alcohol industry.
A range of bills seeking to open the market and expand consumer options were introduced in the legislature this year. Here is a recap of what passed and what failed:
Delivery of Alcohol from Local Liquor Stores: (Success) One can now successfully order alcohol from local liquor stores. Using Drizzly, PostMates, UberEats, or any other delivery app that provides options for the purchase of alcohol, a new permit allows for individuals to bring alcohol right to your front door.
Direct Shipment of Alcohol from Out-of-State: (Failure) While you can successfully order alcohol and have it sent to your door via an app, don’t try to order wine or liquor from out of state. Mississippi continues to bar its citizens from enjoying alcoholic beverages from other parts of the country. If you think it’s a bit unreasonable that you can have alcohol sent to your door through an app but can’t have it delivered from another state, then we’re on the same page.
Distillery Sales Expansion: (Failure) This bill would have expanded the ability of distilleries to sell drinks on their premises. The adjusted permit would have empowered distilleries to more effectively compete by selling their products on site for consumption.
Ending State Prohibition: (Failure) Mississippi is technically still a “dry” state. However, policy allows for counties to have a vote and opt to become “wet” and allow for the sale of alcohol. This process is extremely burdensome and restrictive. This legislation would have switched the procedure and made Mississippi open to the sale of alcohol unless a county otherwise voted to be “dry.”
Removal of State Monopoly on Distribution: (Failure) An attempt was made to remove the state entirely from its monopoly over the distribution of alcohol. Unfortunately, this bill failed. You may have noticed chronic shortages and limited supplies at your local liquor store. This problem largely rests with the consistently delayed, backed up, and slow distribution system.
All of Mississippi’s liquor runs through one warehouse. The warehouse represents central planning at its finest. Local stores have difficulty getting more niche drinks and orders are constantly delayed. Why our state continues its failed attempt to compete with the market by crowding out all other potential distributors continues to astound me.
The bill would have ended the state’s monopoly over distribution and created a range of permits for private businesses to step into the gap and take advantage of the new economic opportunities which are currently being stifled by the government.
This would be a win, not only for the free market and those who oppose government centralized planning but also for small businesses and consumers. Liquor stores should face less delays and back-ups and also have a wider array of options as to what they would like to stock. Consumers are more likely to see their preferred drink on the shelves and also gain access to the larger variety of drinks that could be available.
Sale of Wine at Grocery Stores: (Failure) Unfortunately a bill that would have expanded the ability for grocery stores to sell wine failed. It is likely that this continued prohibition on the sale of wine is incentivizing some businesses from entering the state market entirely.
Authorization of Microbreweries: (Success) This newly passed legislation changes the state code to allow for the authorization of microbreweries. This is a win for the free market, especially since recent statistics show that Mississippi is last in the nation for microbreweries per capita.
When it comes to alcohol, Mississippi has a long way to go in order to end its command-and-control system and establish truly free market policies. While this year’s legislative session has brought about some success regarding microbreweries and alcohol delivery, true alcohol freedom remains elusive. Hopefully, next year, we will be able to raise a glass and cheer a wider set of policy successes.
The health of the free market in Mississippi, including the technical sector, is highly influenced by the education and ability of our state workforce.
Sustainable economic development cannot be driven sufficiently by the government picking winners and losers. True economic development is grounded in a skilled population that can generate real monetary value through smart, productive work.
Thankfully, many Mississippi leaders have an applied understanding of the real value of education to encourage sustainable economic growth. For example, in order to encourage lasting economic development in growing technical sectors, the Mississippi Economic Council (MEC) has established the Mississippi Scholars Tech Master Program for high school students.
The program combines a practical emphasis on career education and community service with an academic focus on mathematics and science. This reflects a well-directed market element in education that helps prepare individual students to succeed and provide for themselves.
The program has seen great success, with participants from all 82 counties. According to MEC Senior Vice President for Foundations, Vickie Powell, there have been over 68,000 graduates since its founding.
This success has been largely made possible through MEC’s partnerships with local school districts. These partnerships give students the chance to pursue unique opportunities, with many districts even providing scholarships for the participants. In a recent interview with the Mississippi Center for Public Policy, MEC president Scott Waller noted: “The program gives students the opportunity to gain skills that will fill the jobs that are currently available. We felt like this was important to meet the needs of the workforce.”
On the other hand, economic development pursued through government interference in the free market creates an economic atmosphere that only has the limited scope of government priorities. An economic development agenda based on redistributing taxpayer dollars does not have long-term sustainability.
This coincides with several studies that have noted the anemic effects of redistributive economic development policies. In one such study published in the Journal of the American Planning Association, the researchers noted that “the standard justifications given for incentive policy by state and local officials, politicians, and many academics are, at best, poorly supported by the evidence.”
Economic development policies for technology and other sectors must be driven by a perspective that prioritizes long-term success over short-term results. Rather than focusing on government priorities and corporate welfare, economic development should have a free-market driven focus grounded in the development of individual skills and productivity. This is the American way, and it carries with it the paradigm for greater success, innovation, and growth in the tech sector. Hats off to MEC for helping Mississippi students follow this model.
For the past century, the United States has been in a league of her own. From the first flight and the mass production of automobiles to the advent of radio and television through to the digital revolution, almost all the great innovations have happened in America.
Europe might have been home of the world’s first industrial revolutions, with the Dutch leading the way in the 18th century and the English in the 19th. But the United States has pretty much eclipsed any European achievement ever since.
Today those living in the United States have tended to live better, longer, and more prosperous lives than people anywhere else on the planet. For all the talk of income inequality in the US today, the lowest quintile of Mississippians enjoys a standard of living beyond the reach of the richest Americans 50 years ago. Even poor Americans generally live better lives than the richest Asians and Africans – and even middle-class Europeans.
America’s success has not happened by accident. The United States did not prosper because of geography or the uniqueness of the landscape. Still less was America’s economic advance a product of exploitation and slavery, as some of the radical left insist. America’s industrial take-off happened after, not before, the abolition of slavery.
No, the thing that puts America in a league of her own is her commitment to the ideas of liberty and limited government. Her founding ideals are her secret sauce.
Yesterday, however, President Biden set out a path that would take America in a very different direction. What Biden proposes is nothing less than the “Europeanization” of the United States. Instead of limited government, the new administration is looking to drive US government spending to the levels it is in many of those less happy lands across the Atlantic.
The radical progressives in DC are proposing a European style system of wealth redistribution. Under the guise of fighting climate change, federal fiat will command and control economic activity. There will be punitive increases in corporation and capital gains taxes.
“Don’t worry” the progressives tell us. “Only companies are going to pay higher corporation taxes”. Claiming that only companies pay for corporation taxes is a bit like claiming that it is my car, not me, who pays for gas tax.
As for the idea that only the super-rich will have to pay more personal taxes, that is what they once said in Europe. Today tens of millions of Europeans hand over almost half of what they earn in one form of tax or another.
Under Biden’s ‘American Families Plan’ the federal government is going to have a plan for your family. There is due to be a quasi-socialist expansion of federal oversight of childcare and education, with government taking control of nurseries and classrooms.
The Biden administration would make the United States less American and more European. As the federal government grows bigger, the economy will become less dynamic and innovative. The United States, rather like Europe has opted to do, would take a holiday from history - all at the moment China has begun to challenge the global order.
Fortunately, not all is yet lost. Thanks to the genius of the Founding generation, the United States is still a union of states, not a centralized province run directly from DC. The States – with their governors, legislatures, and courts – are the last line of defense against overbearing government. That is why we at the Mississippi Center for Public Policy are working to outline an agenda for economic freedom and limited government that can be delivered here in the Magnolia State.
What we are working towards is a national movement to restore and renew the American republic, and to make good the Founding Ideals that have made America such a success.
For the past century, the Western world has prospered and prevailed less because of Europe, but because of the United States. If the West is to flourish in the future, it will be because we make Europe more like America, rather than America more like Europe.
Just as technology has expanded access to – well, everything – technological innovation is a key to expanding healthcare access. One of the nation’s top experts in this area is Dr. Robert Graboyes, Senior Research Fellow at the Mercatus Center.
In this article, I’ll give a brief summary of a fascinating interview with Dr. Graboyes, which highlights the changing nature of health tech. Dr. Graboyes discusses the ways that technology can be used to increase the quality of healthcare while simultaneously reducing costs.
The discussion covers technological innovations such as portable electrocardiogram (EKG) machines, telehealth, and medical drones. Dr. Graboyes also mentions the importance of conducting a risk-benefit analysis when evaluating innovative medical technology.
The portable EKG example Dr. Graboyes mentions regards a portable EKG machine that he has personally used. The machine has helped him determine if he needed to go to the emergency room due to a personal condition. The information that the portable EKG provides him has saved him tens of thousands of dollars by helping him avoid potential emergency room visits.
Dr. Graboyes also highlights the merits of telehealth through a story about how the technology impacted his own family. A physician was conducting a video conversation with Graboyes’ grandmother and determined that she had to go to the emergency room immediately because she was in the early stages of septic shock. Graboyes noted that the biggest barrier to more expansive implementation of telehealth practices that could help more patients is licensure restrictions. Since this interview was conducted in 2019, many states, including Mississippi, have relaxed their licensure restrictions as a reaction to the COVID-19 pandemic.
Graboyes further discusses a story involving the use of medical drones to carry blood samples and blood supplies in Rwanda. He stated that the United States is researching the concept in North Carolina, and that its potential benefits are extraordinary.
Finally, he concludes the interview by seeking to quell the fears that many regulators have about embracing new technological innovations. It is important to measure the risks and benefits of each program. He recognizes that many people feel that we need to be more cautious about utilizing medical technology, but compared the technological advances in the medical industry to those in the information technology industry.
Graboyes notes that the IT industry has exploded in terms of advancements, but the healthcare industry has only made marginal advances by comparison. He believes that the reason for this is because of the regulations hampering medical technology growth.
There are risks that come with innovation in any industry, but if the benefits outweigh those perceived risks, then the pursuit is worthwhile. Graboyes compares the current healthcare industry to a fortress, focused on protecting the various professionals and industries dedicated to the current healthcare apparatus. He encourages innovation through a frontier model as an alternative to the fortress strategy. This model would encourage growth with less regulation, but with the potential for greater risk. However, as stated before, if the benefits outweigh the risks, it is worth pursuing the technology.
All in all, Robert Graboyes makes a compelling case for embracing new and innovative medical technologies that will potentially lead to higher quality care, and that will also reduce costs and reduce the frequency of hospitalizations. Instead of hindering these innovations, Mississippi should cut red tape to encourage the adaption of revolutionary medical technologies.