A great Mercatus analysis of how hard it is to start a craft brewery in Virginia:
In aggregate, the number of regulatory procedures that we identify (12), the wait times to complete many of these procedures (in excess of 100 days), and the associated costs (e.g., $2,150 for a single license) represent formidable barriers to entry.
All of these barriers are in addition to the standard regulatory hurdles that all small businesses must surmount (zoning ordinances, incorporation rules, and tax compliance costs).
This means that starting a microbrewery in the state of Virginia requires as many procedures as starting a small business in China or Venezuela, countries notorious for their excessive barriers to entry.
This study really illustrates all the ways, big and small, that government stands in the way of an entrepreneur turning ideas and effort into a job-creating, wealth producing business. That is just not going to cut in an America where wage income will be harder and harder to come by.
More Americans must become direct capitalists. Entrepreneur Ashwin Parameswaran offers this alternative to redistrubution: “Instead we should empower the low and medium wage earners of today to become the capitalists of tomorrow while protecting them with a safety net that protects them as individuals rather than protecting the firms and unions that they are members of… In order to enable every person to become a capitalist, we need to reduce the regulatory burden on all aspiring capitalists as well as removing the protections enjoyed by incumbent large firms.”