Conclusion

Our study adds to the mounting evidence that licensing does not promote safe, quality service—one of its major purported benefits. It also suggests licensing may actually decrease service quality in some cases. Given licensing’s growth over the past several decades and copious prior research finding licensing imposes significant costs, it is time to question whether licensing’s expansion has been wise. To rein in ever-expanding licensing and its high costs, governments should carefully consider whether proposed and existing licenses are necessary to protect public health and safety and reject or repeal those that are not. They should also ensure requirements for any licenses deemed necessary are narrowly targeted to health and safety. In so doing, governments can transform licenses into liberty to the benefit of workers, consumers, and society and the economy at large.