Thursday, March 11, 2010

More on licensing

Reason:

The people of Louisiana must sleep soundly knowing that their state protects them from ... unlicensed florists.

That's right. In Louisiana, you can't sell flower arrangements unless you have permission from the government. How do you get permission? You must pass a test that is graded by a board of florists who already have licenses. To prepare for the test, you might have to spend $2,000 on a special course.

The test requires knowledge of techniques that florists rarely use anymore. One question asks the name of the state's agriculture commissioner—as though you can't be a good florist without knowing that piece of vital information.

The licensing board defends its test, claiming it protects consumers from florists who might sell them unhealthy flowers.

[...]In Virginia, you need a license to be a yoga instructor. Florida threatened an interior designer with a $25,000 fine if she didn't do a six-year apprenticeship and pass a test, at a cost of several thousand dollars. Fortunately, the Institute for Justice got that law overturned.

[...]Established businesses have always used government to handcuff competition. Years ago, small grocers tried to ban supermarkets. A&P was going to "destroy Main Street," the grocers cried. Minnesota legislators responded to their lobbying by passing a law that forbade supermarkets to hold sales. Consumers were hurt.

OK, while licensing of florists, interior designers, and yoga teachers is ridiculous, what about more important professions, like law? Surely people need protection from people who would practice law without a license. Again, I say no. Lawyers' monopoly on helping people with wills, bankruptcies, and divorces is just another expensive restraint of trade.

[...]Some of the most famous lawyers in American history, including Thomas Jefferson, Abraham Lincoln, and Supreme Court Justice Benjamin Cardozo, had no license from the state. Their customers decided whether they were worthy of being hired.
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