Rothbard's Law

Rothbard's Law states that the more government intervenes in the economy—such as through regulations, taxes, or controls—the more resources and effort are redirected from productive activities to lobbying and compliance efforts. Essentially, increased government intervention tends to grow a regulatory burden, prompting businesses and individuals to spend more time navigating rules or influencing policies rather than focusing on productive work or innovation. This dynamic often results in economic inefficiencies and can hinder overall growth, illustrating how government actions can unintentionally create a cycle of expanding regulation and bureaucracy.