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Source : Joe Biden for President
July 9, 2021
Author : Alex Bustillos
The president’s executive order on “promoting competition” doesn’t offer much concrete for small businesses.
The executive order released today contains quite a few effective measures aimed at consumer protection and occupational licensing reform but misses the mark on offering much for small business in the immediate.
Some reforms that would make it harder for large companies to gouge customers with hidden fees, like a ban on “excessive termination fees” by internet service providers, and requirements that airlines be more upfront about costs are surely a welcomed addition that will cut down on unfair practices.
However, when it comes to small businesses, the executive order will merely direct other agencies to make changes. Those changes may be good, but we don’t have many details on them and will have to wait for agencies to announce their actual policies before we can fully judge anything.
Those directions to other agencies asking them to address small business issues include:
Indirectly, there are some measures which would also affect small businesses, like some banking reforms.
The Executive Order argues that bank consolidation (which we have previously reported on here) restricts credit for small businesses. The reforms, however, include more “encouraging” and “directing” of other agencies:
While reforms aimed at disempowering monopolies are an important step in creating a competitive marketplace, more effort is needed from the federal government to uplift the small business community.
For example, on the same day of the executive order it was reported that the government still holds $27 billion in available aid to small businesses under the pandemic relief program called Targeted EIDL [Economic Injury Disaster Loan] program. So far, only $2.25 billion has been handed out to the struggling small business community.
Our previous reporting has shown that more than 1,000 small businesses closed per day due to the pandemic. Getting that money out to small businesses that need it should be the top priority of the administration.