The Cost of Free Phones

Last week, a video made the rounds of a woman screaming at the top of her lungs for the re-election of President Obama because, according to her, Obama had given her a free cell phone.  The video made for great fodder for bloggers, with each side of the partisan divide giving their take.  But many […]

Universal Service Funding in Need of Serious Reforms

In the past, we’ve detailed the many problems and issues with the Universal Service Fund.  For those unaware, the Universal Service Fund (USF) applies a tax to the phone bill of every customer in the US who utilizes interstate telephone services. This means just about everyone pays into it.  This tax, generating roughly $8 billion […]

ACI Responds to North Carolina Insurance Commissioner’s Opposition to Insurance Competition

We are disappointed to hear Commissioner Goodwin’s decision to oppose meaningful regulatory reforms in the state’s auto insurance market.  These reforms are aimed at ending the current government-sponsored price-fixing rate bureau that shields insurance companies from competition.  The proposals he opposes would provide fair rates to good drivers, increase transparency and lower consumer prices through […]

GAO Report Finds State Insurance Funds Expose Consumers and Tax Payers to Massive Costs; Set Rates Below Risk

Here comes another potential bailout. The newly released GAO report, “Natural Catastrophe Insurance Coverage Remains a Challenge for State Programs,” supports ACI’s conclusion that state funds “discourage private market involvement and mitigation.”  The report finds that some states are setting insurance prices below cost, driving out private insurers and putting nearly involvent state-run “public options” in their place.  […]

More Begging Hands in Washington

Groups Calling for Increased Price Controls of Telecommunications Services Would Like Government Subsidies   The Federal Communications Commission (FCC) is looking into allegations of market failure and claims of high special access prices, even though no party or government agency has yet to produce any empirical evidence that demonstrates that a market failure actually exists.  Without […]

Cash for Clunkers May Not Benefit Consumers or the Environment

Subsidy Could Harm Consumers and May Not Save Energy   President Obama has signed into a law a program to stimulate new car purchases and take old gas guzzlers off the road.  The program, referred to as Cash for Clunkers, would give new car buyers a rebate worth thousands per vehicle, when they trade in an […]