The Atlantic

The Regulatory State Is Failing Us

Tyler Cowen suggests how to address some of the biggest obstacles to fighting COVID-19.
Source: Wikimedia / The Atlantic

When assessing the United States government’s response to the coronavirus pandemic, most observers focus on the performances of President Donald Trump, his most prominent advisers, and the governors of large states.

The George Mason economist Tyler Cowen, who has helped raise more than $1 million in prizes for promising efforts to combat the coronavirus, has an additional concern. “Our regulatory state is failing us,” he has repeatedly warned on his blog, Marginal Revolution. In fact, Cowen sees those failures as among the most significant obstacles to successfully combatting the virus. He fleshed out his concerns and desired reforms in an interview conducted over email. This is a lightly edited version of our exchange.


Conor Friedersdorf: What is the “regulatory state”? And what does it have to do with America’s pandemic response?

Tyler Cowen: I define “the regulatory state,” in this context, as the set of laws, rules, and institutions set up to govern, oversee, and indeed define our response to the pandemic. Of course, the regulatory state reports to both the executive and the legislatures, so this is all of a piece, but in the short run, agencies and bureaucracies typically have a great deal of independent influence.

[George Packer: We are living in a failed state]

Friedersdorf: What are the most significant failures of America’s regulatory state as it relates to the pandemic?

Cowen: Let me give you a few examples:

  1. New York state regulations, until very recently, forced nursing homes to accept COVID-19-positive patients being discharged from hospitals. Nursing homes, especially in the northeast, have been an epicenter for COVID-19 casualties. By law, they were forced to accept , often

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