The Economic Engine of Home-Based Business
Cato Podcast
Cato Institute
4.5 • 979 Ratings
🗓️ 29 April 2022
⏱️ 10 minutes
🧾️ Download transcript
Summary
About half of the businesses in the U.S. are based in homes. Why do local governments actively work against them? Chris Edwards explains.
Related:
"Deregulate Home Food Businesses" by Chris Edwards, Cato at Liberty
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Transcript
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| 0:00.0 | This is the Cato Daily Podcast for Friday, April 29th, 2022. |
| 0:06.2 | I'm Caleb Brown. |
| 0:07.2 | Home-based businesses number in the tens of millions in the United States, |
| 0:10.6 | but local restrictions make it harder to both start and maintain those |
| 0:14.0 | businesses. The implications for the economy of freeing up home-based work, |
| 0:18.4 | including food production, could be substantial.ato's Chris Edwards comments. |
| 0:23.5 | Home-based businesses are usually important to the U.S. economy. |
| 0:26.8 | America has about 30 million businesses, |
| 0:29.8 | and remarkably about half of them, |
| 0:31.6 | about 15 million are based in the home. |
| 0:34.6 | Everyone from accountants to wedding planners to contractors to yoga teachers to daycare |
| 0:40.6 | providers and home food producers operate their businesses out of their homes. |
| 0:47.2 | So this is usually important to the economy. |
| 0:49.4 | There's many lifestyle and really advantages to home businesses. |
| 0:54.0 | The problem is that a lot of local governments impose excessive zoning rules |
| 0:59.0 | that restrict home-based businesses |
| 1:01.0 | and I think this really undercuts the economy. |
| 1:03.4 | If you go to Google Maps and start searching for things in your neighborhood, |
| 1:08.6 | inevitably at least in my experience you will find one of those little pin drops in a house in a neighborhood and |
| 1:16.6 | it will be listed as a business. |
| 1:19.3 | How do local governments stand in the way of that or how do they make it harder? |
| 1:24.0 | Well if you wind the clock back to the mid-20th century many local governments |
... |
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