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The Unseen Consequences of Occupational Licensing


Published on: January 2, 2020

Occupational licensing is supposed to protect consumers, but instead it inhibits competition and further entrenches incumbents in the market. Under the guise of consumer safety, occupational licenses require costly classes or fees before workers may join certain professions. Many professions now require licenses even though they do not put consumers at risk.

Discussion Questions:

  1. What percentage of occupations should require licenses?
  2. What licenses exist that should be abolished?

Additional resources:

  • Read “Occupational Licensing Is a Bad Idea” by David Henderson, available here.
  • Read “Uber and Occupational Licenses” by John Cochrane, available here.
  • Read “My Short Case against Occupational Licensing” by David Henderson, available here.