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Saturday, January 31, 2015
Akina: Government can help lower the cost of living by getting out of the way
By Grassroot Institute @ 3:29 PM :: 5890 Views :: Hawaii Statistics, Cost of Living

Government can help lower the cost of living by getting out of the way

by Keli'i Akina, Ph.D., President/CEO, Grassroot Institute of Hawaii

At the Grassroot Institute, we track Hawaii’s standing compared to other states in a number of categories ranging from the cost-of-living to the ability to start and grow sustainable businesses.   While reports consistently rank Hawaii as one of the states with the most expensive housing, a new state-by-state comparison puts Hawaii as #1 in terms of the gap between the income residents earn and the cost of housing.   In no other state of the union do more than half the residents need to pay nearly one-third of their income for housing.  This leaves an ever-shrinking purse for other essentials such as food, transportation, and clothing in a state where residents face one of the highest costs of living in the country.

In this new legislative session, lawmakers and the Governor are proposing numerous measures for dealing with falling State government revenues.  Many of these proposals amount to increased taxation such as extending the fixed rail surcharge in the GE Tax rate or increasing the aggressiveness of tax agency collection.  Unfortunately, measures such as these have a crushing impact upon the poor and middle-class, precisely the people struggling most with the gap between their income and expenses.

But the bigger problem with the government focus on improving government revenue is that it’s backward.   Raising more money for government does not result in helping citizens and building the economy.   Building the economy is what helps citizens and provides the funding needed to operate government.   And building the economy is precisely what government is incapable of doing, for robust economies are built upon the principles of the free market.  Often, the best thing government can do is to get out of the way of businesses and free trade.  And that’s why the Grassroot Institute advances free-market solutions, such as fighting the overregulation of small business and promoting reform of the Jones Act. 

Video: Producing Tomorrow's Scientists with Christopher Lindsay

In this episode of E Hana Kakou, Grassroot President Keli’i Akina speaks with high school student Christopher Lindsay about his research, work and interest in the field of science.

Click the image below to view the interview in its entirety or go here to see it on You Tube.

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