ThinkTankWeekly

CATO

205 published entries in the portal

This hub page collects curated ThinkTankWeekly entries for CATO and links readers back to the publisher for the original reports.

Featured topics: United States, Trade, Economy, Middle East, China, Europe

  1. 1.
    2026-06-25 | defense | 2026-W26 | Topics: Middle East, Nuclear, United States

    CATO argues that the proposed defense supplemental budget represents wasteful and unnecessary spending, largely driven by reactive measures related to the war in Iran. The article highlights that significant portions of this funding are dedicated to operational expenses and resupplying depleted munitions inventories. Furthermore, it notes that actual military outlays are consistently underreported because multiple agencies contribute funds outside the Department of Defense. Consequently, the continuous expansion of defense spending is deemed fiscally irresponsible, adding billions to an already excessive budget without providing clear benefits to American taxpayers.

    Read at CATO

  2. 2.
    2026-06-25 | economy | 2026-W26 | Topics: United States

    The Cato Institute argues that federal welfare programs are plagued by systemic design flaws leading to massive waste, fraud, and abuse of taxpayer funds. These losses stem primarily from a 'financing mismatch,' where states administer benefits but the federal government bears most of the cost, weakening local incentives for proper enforcement. Compounding this is administrative complexity and outdated verification systems, which facilitate improper payments and rule manipulation across programs like Medicaid and SNAP. To curb these multi-trillion dollar losses, the authors recommend structural reforms—such as converting programs into zero-growth block grants or strengthening eligibility rules—to align state financial incentives with federal accountability.

    Read at CATO

  3. 3.
    2026-06-25 | society | 2026-W26 | Topics: United States

    Recent court rulings demonstrate significant judicial resistance to federal efforts attempting to intervene in state-level election administration. Judges have blocked presidential attempts to mandate changes to mail-in balloting, prevented the creation of large voter databases using inaccurate data, and generally dismissed suits demanding state voter files. These findings indicate that core electoral processes remain largely protected by state autonomy against broad federal mandates. Consequently, policy strategists should anticipate continued legal challenges limiting the scope of executive power in election mechanics, reinforcing decentralized control over voting procedures.

    Read at CATO

  4. 4.
    2026-06-25 | health | 2026-W26 | Topics: Europe, United States

    The publication argues that the FDA's regulatory process is overly restrictive and detrimental to public health, using sunscreen ingredients like bemotrizinol as a primary example of unnecessary overregulation. The core finding is that the agency frequently commits 'Type II errors'—blocking beneficial products—which harms consumers more than it helps, due to political incentives focused only on avoiding Type I errors (blocking harmful substances). For policy reform, the author recommends Congress eliminate or drastically curtail FDA power and immediately remove barriers allowing US consumers access to health products already approved in other developed nations. This shift is presented as essential for promoting individual liberty and consumer choice over government control.

    Read at CATO

  5. 5.
    2026-06-23 | society | 2026-W26 | Topics: United States

    CATO argues that current judicial interpretations of FOIA's Exemption 7 are flawed because some circuits apply a "per se" rule, automatically exempting any document compiled by law enforcement agencies regardless of its actual purpose. This interpretation contradicts the plain text of FOIA, which requires proof that records were compiled for legitimate law enforcement objectives. The pending Supreme Court case underscores this conflict, as broad exemptions allow the government to shield potential abuses and surveillance overreach from public scrutiny. Policy-wise, overturning the "per se" rule is critical to restoring transparency in federal governance and ensuring that public access remains an effective tool against governmental misconduct.

    Read at CATO

  6. 6.
    2026-06-23 | economy | 2026-W26 | Topics: Middle East, Trade, United States

    The article argues that increased immigration significantly undermines labor unions by introducing ethnic, linguistic, and religious diversity among the workforce. This diversity raises the transaction costs required for collective action, making it difficult for workers to organize into powerful union movements. From a free-market perspective, this decline in union power is viewed as beneficial because it reduces political pressure for progressive, anti-capitalist policies and helps preserve economic freedom. The research suggests that weaker unions translate directly into less state intervention and greater market flexibility.

    Read at CATO

  7. 7.
    2026-06-23 | economy | 2026-W26 | Topics: Europe, Indo-Pacific, Trade

    The analysis argues that Brexit was fundamentally a constitutional quest for sovereignty rather than merely an anti-EU populism, and ten years later, the economic reality is less dramatic but still costly. While debunking myths of immediate recession or protectionism, the report finds that new trade frictions have substantially hampered UK GDP growth and increased political volatility. The key policy implication is that simply exiting a major bloc does not guarantee economic freedom; instead, the UK must proactively manage its regulatory divergence (e.g., avoiding EU AI regulations) to capitalize on its unique position and achieve genuine prosperity.

    Read at CATO

  8. 8.
    2026-06-23 | economy | 2026-W26 | Topics: China, Indo-Pacific, Russia, Taiwan, Trade

    The article argues that industrial policies, which involve government favoring specific sectors or technologies, inherently create market distortions regardless of how targeted the intervention is. The analysis cites historical examples—ranging from railroad grants and tariffs to modern acts like the CHIPS Act—to demonstrate patterns of corruption, cost overruns, and misallocation of capital. While proponents point to successful Asian economies, critics argue that government subsidies often fail to identify true growth sectors or overcome political pressures. Consequently, the piece advises caution, suggesting that the fundamental problem of officials lacking perfect market information means that even modest interventions risk undermining efficient resource allocation.

    Read at CATO

  9. 9.
    2026-06-23 | economy | 2026-W26 | Topics: AI, China, United States

    The Commerce Department's decision to award SandboxAQ a $500 million CHIPS grant while simultaneously securing a minority equity stake and royalty rights is criticized as an overreach of federal power. While the administration justifies this intervention using supply chain resilience arguments, critics argue that the company is already well-capitalized, making government ownership unnecessary and fiscally irresponsible. This pattern of granting equity stakes exceeds the scope of existing legislation and risks creating conflicts of interest and political favoritism rather than genuinely securing critical technology supplies. The move suggests a strategic effort by the administration to build a controllable federal investment portfolio, potentially undermining private sector innovation under the guise of industrial policy.

    Read at CATO

  10. 10.
    2026-06-23 | economy | 2026-W26 | Topics: United States

    The author argues that the proposed 'Trump Account' structure is fundamentally flawed because the $1,000 government subsidy creates excessive complexity and tax penalties. This handout shifts market risk onto taxpayers and increases fiscal pressure on Congress, failing to provide a free lunch or reliably foster capitalist conviction. To fix the account, policymakers should eliminate the subsidy entirely, which would simplify rules by removing mandatory lock-up periods and associated penalties. Instead of using subsidies for redistribution, Congress should focus on tax simplification and allowing parents to deduct contributions to create a more flexible Universal Savings Account.

    Read at CATO

  11. 11.
    2026-06-23 | economy | 2026-W26 | Topics: China, Europe, Indo-Pacific, Trade, United States

    The analysis argues that despite political rhetoric suggesting its demise, the USMCA is too deeply integrated into North American commerce to fail and will likely survive in some form. Key evidence supporting this resilience includes $2 trillion in trilateral trade in 2024 and exceptionally high rates of 'intrafirm trade,' demonstrating unique supply chain interdependence among the three nations. This deep economic integration means that unwinding the agreement would cause significant damage to U.S. manufacturers and overall stability. Consequently, maintaining the USMCA is crucial for regional economic continuity, making its continued existence a strategic necessity regardless of political disputes.

    Read at CATO

  12. 12.
    2026-06-23 | americas | 2026-W26

    A federal judge quashed Justice Department subpoenas targeting Minnesota state officials, ruling that the actions constituted an abusive and unconstitutional attempt to politically coerce state leaders. The decision reinforced the anti-commandeering doctrine, asserting that the federal government cannot use criminal investigations to force states into compliance with its political agenda. This legal victory signals a growing judicial pushback against perceived federal overreach, citing patterns of prosecutorial misconduct in other jurisdictions. Strategically, the ruling strengthens the constitutional firewall protecting state and local governmental independence from weaponization by federal law enforcement agencies.

    Read at CATO

  13. 13.
    2026-06-23 | diplomacy | 2026-W26 | Topics: United States

    The Supreme Court ruled that federal courts cannot create new causes of action for violations of international norms under the Alien Tort Statute (ATS), effectively limiting judicial intervention in foreign human rights cases. The key reasoning is that Congress, not the judiciary, holds the constitutional responsibility to balance US interests with international law and should be the body to establish such liabilities. This decision signals a significant rollback of ATS litigation, potentially reducing future high-stakes lawsuits related to global misconduct to near zero. Strategically, this limits the legal tools available to activists and advocates seeking redress for foreign human rights abuses through U.S. courts.

    Read at CATO

  14. 14.
    2026-06-23 | society | 2026-W26 | Topics: United States

    The analysis critiques a recent court ruling that shielded a county from liability following a coroner's illegal actions involving human remains, arguing this severely undermines federal civil rights law. The core legal problem is the 'official policy' requirement of *Monell* doctrine; the court ruled that because the act violated state law, it was inherently unofficial, even if committed by a high-ranking decision-maker. The author contends this interpretation defeats the historical purpose of Section 1983, which exists to hold local officials accountable for constitutional rights violations. Strategically, the article urges the Supreme Court to review the case and advocates for Congress to amend Section 1983 to establish clear employer liability (like *respondeat superior*) when public employees violate civil rights.

    Read at CATO

  15. 15.
    2026-06-23 | economy | 2026-W26

    The article argues that federal government spending is fundamentally inefficient, likening the process to a "leaky bucket." The core finding is that every stage of raising and deploying funds—from taxes to program delivery—is undermined by bureaucratic inefficiencies, design errors, and behavioral responses. Consequently, the study asserts that most federal programs generate costs far exceeding their benefits across sectors like defense, welfare, and health care. Policymakers should therefore drastically reduce federal involvement, allowing resources and problem-solving activities to be handled primarily by state governments and the private sector.

    Read at CATO

  16. 16.
    2026-06-23 | tech | 2026-W26 | Topics: Cybersecurity, Indo-Pacific, United States

    The article critiques the UK's proposed social media ban for minors, arguing that while intended as protection, it is misguided and will fail to curb online harms. Instead, the policy mandates complex age verification and restricts tools like VPNs, which poses a far greater threat by eroding digital anonymity. This loss of privacy chills free speech, making individuals hesitant to engage in sensitive political or personal discussions for fear of surveillance. Ultimately, the push toward mandatory identification represents a dangerous slide toward an Orwellian surveillance state that sacrifices fundamental civil liberties for flawed safety goals.

    Read at CATO

  17. 17.
    2026-06-22 | economy | 2026-W26 | Topics: United States

    The article argues that while the Clarity Act is a commendable step toward defining jurisdictional lines between the SEC and CFTC for digital assets, it suffers from critical structural flaws. Key issues include definitional inconsistencies—treating ancillary assets as securities-like without proper statutory classification—and leaving the crucial transition criteria (from SEC to CFTC oversight) subject to agency discretion rather than codified law. For effective policy, Congress must address these gaps by defining ancillary assets as a distinct category, statutorily codifying the decentralization test, and inverting the current presumption so that the burden of proof rests with the regulator.

    Read at CATO

  18. 18.
    2026-06-22 | society | 2026-W26 | Topics: United States

    The core argument posits that maintaining the freedom to give privately, without government permission or oversight, is essential for protecting broader American liberties and supporting a robust civil society. Key evidence cited includes the massive $600 billion philanthropic sector's unique contributions to science, health, and education, alongside historical examples of political attacks on charitable independence (e.g., targeting Harvard). The implication for policy is that government encroachment or the 'weaponization' of tax law against non-profits—regardless of political ideology—undermines civil liberties and diminishes necessary sources of independent power crucial for a free society.

    Read at CATO

  19. 19.
    2026-06-22 | economy | 2026-W26 | Topics: United States

    The Tillis-Alsobrooks Compromise (Section 404) attempts to regulate stablecoin rewards by banning yields functionally equivalent to bank deposits. CATO argues this approach is flawed because it relies on an ambiguous 'equivalence test' that incorrectly compares regulated stablecoins to traditional fractional-reserve banking models. Since compliant stablecoins are backed 1:1 with high-quality liquid assets and do not engage in credit transformation, applying a deposit standard is inappropriate. Policymakers should recognize that stablecoin rewards represent healthy price competition and avoid using the bank deposit model as the regulatory yardstick to ensure market innovation.

    Read at CATO

  20. 20.
    2026-06-22 | tech | 2026-W26 | Topics: AI, Cybersecurity, Europe, Trade, United States

    The CATO analysis argues that while the proposed Great American Artificial Intelligence Act (GAAIA) addresses innovation and risk management, it critically fails to provide meaningful protections for free speech against government overreach. Concerns center on vague provisions, the threat of arbitrary executive actions like export controls (citing Anthropic's shutdown), and how voluntary standards could lead to 'collateral censorship.' For policy improvement, the author recommends replacing studies with direct anti-jawboning policies, implementing stronger preemption to prevent state law fragmentation, and restricting executive authority to safeguard AI development and speech rights.

    Read at CATO

  21. 21.
    2026-06-18 | americas | 2026-W25 | Topics: Trade, United States

    This book argues that 250 years after independence, modern American governance continues to exhibit patterns of 'repeated injuries' reminiscent of colonial abuses and potential overreaches by the state. By linking historical grievances—such as taxation without consent or restrictions on naturalization—to contemporary issues, the volume provides a framework for identifying systemic threats to liberty. Key evidence includes analyzing how tax systems are increasingly used for political favoritism, concerns regarding standing military power, and the erosion of traditional due process rights in specialized courts. The strategic implication is that maintaining foundational American liberties requires continuous vigilance and re-examination of constitutional principles against modern executive power creep.

    Read at CATO

  22. 22.
    2026-06-18 | economy | 2026-W25 | Topics: United States

    The article argues that calls for new taxes on AI or computing power are based on flawed economic premises, specifically the false narrative of labor losing to capital. Empirical evidence contradicts this panic, showing that technology generally complements work by enhancing productivity rather than simply replacing it. Furthermore, implementing a compute tax would be economically damaging because taxing intermediate inputs raises costs across all final goods and slows down the necessary investment required for wage growth. Policymakers should therefore avoid distorting capital markets with new taxes and instead focus on improving existing tax structures to ensure supernormal returns are fully captured.

    Read at CATO

  23. 23.
    2026-06-18 | society | 2026-W25 | Topics: Nuclear, United States

    This analysis argues that capital punishment is fundamentally flawed due to its irreversible nature, especially when administered by a fallible government. The system's core weakness lies in immunity doctrines (for police and prosecutors) which shield state actors from accountability for misconduct, allowing abuses like evidence suppression or framing to occur risk-free. The case of Walter McMillian serves as key evidence, demonstrating how systemic collusion can strip an innocent man of his life without the involved officials facing personal consequences. Consequently, the policy implication is that regardless of whether capital punishment should be abolished, establishing genuine and mandatory accountability for those who wield state power over life and death is paramount.

    Read at CATO

  24. 24.
    2026-06-18 | economy | 2026-W25 | Topics: United States

    The article argues that focusing solely on Social Security's trust fund exhaustion date obscures its true fiscal impact, asserting that the program is already a significant contributor to federal deficits and debt today. Using a comprehensive methodology that includes interest costs on cumulative cash-flow shortfalls, the authors estimate that Social Security will contribute approximately $5.1 trillion to federal debt over the period leading up to trust fund exhaustion. Policymakers are urged to shift their focus away from traditional solvency metrics toward assessing how proposed reforms reduce the program's actual contribution to national deficits and overall debt burden.

    Read at CATO

  25. 25.
    2026-06-17 | economy | 2026-W25 | Topics: United States

    A GAO study highlights that the Emergency Conservation Program (ECP), a federal farm subsidy, has an alarming improper payment rate of 45% in 2024. This high rate indicates significant waste and fraud within USDA aid, much of which benefits larger, wealthier agricultural businesses claiming disaster damage. The analysis argues that these subsidies are poorly administered, suggesting that such risks should be covered by private insurance rather than government funds. Policy recommendations suggest Congress must phase out farm subsidies entirely, starting with the ECP, to curb federal waste and mismanagement.

    Read at CATO

  26. 26.
    2026-06-17 | health | 2026-W25

    A study analyzing the impact of online sales bans on electronic nicotine delivery systems (ENDS) found no evidence that such legislation successfully reduced e-cigarette use among youth or adults. The research indicates that these bans are largely ineffective because young people rarely used the internet for acquisition, and instead, consumption shifted from legal online purchases to illegal shipments and in-person sources like family and friends. Consequently, while online sales dropped significantly (40–50%), overall usage remained high, suggesting that regulatory efforts focused solely on digital channels merely redirect—rather than curtail—consumption.

    Read at CATO

  27. 27.
    2026-06-17 | tech | 2026-W25 | Topics: AI, Cybersecurity, Trade, United States

    The Great American Artificial Intelligence Act (GAAIA) proposes a comprehensive federal framework to govern AI, establishing standards through mandated transparency reporting and independent oversight. Key mechanisms include creating the Center for AI Standards and Innovation (CAISI), which will conduct third-party evaluations of both domestic and foreign models, thereby stabilizing the rapidly evolving industry. This structure aims to shift governance toward voluntary industry self-regulation by forcing developers to document risks and intended uses. Strategically, GAAIA seeks to solidify US leadership in the global AI market by ensuring that national standards are advanced through international cooperation and standard-setting fora.

    Read at CATO

  28. 28.
    2026-06-16 | economy | 2026-W25 | Topics: Trade, United States

    The article uses Whirlpool Corporation as a case study to argue that government protectionism is fundamentally detrimental to domestic industry health. Key evidence shows that despite years of lobbying for protection under multiple laws, the resulting tariffs have led to significant costs, job cuts, offshoring, and declining market competitiveness for the company. The core finding is that protective measures perversely insulate firms from necessary market pressures, allowing them to squander profits while their overall competitiveness erodes. Policymakers should recognize that such advocacy often creates unintended negative consequences—such as trade diversion—and ultimately harms the protected industry itself.

    Read at CATO

  29. 29.
    2026-06-16 | energy | 2026-W25 | Topics: Climate, Nuclear, United States

    Energy Secretary Chris Wright argues that hydrocarbons (oil, gas, and coal) are 'massively abundant' and will not run out due to human ingenuity and technological advances. The argument is supported by current reserve estimates, which often fail to account for new extraction methods like horizontal drilling, a pattern proven repeatedly over the last century when doomsayers have consistently mispredicted resource depletion. For policy, this suggests that rather than focusing on immediate scarcity or rapid transitions away from fossil fuels, strategic efforts should instead prioritize technological innovation within oil, gas, and coal sectors to power future energy revolutions.

    Read at CATO

  30. 30.
    2026-06-16 | economy | 2026-W25 | Topics: United States

    Despite a presidential executive order attempting to halt development, the Federal Reserve appears to be advancing a Central Bank Digital Currency (CBDC) through participation in Project Agorá. This initiative utilizes tokenization on a shared ledger for cross-border payments, effectively creating a wholesale CBDC by tokenizing central bank reserves and commercial deposits. By framing this effort as a 'technical upgrade' involving 'tokenized reserves,' the Fed is attempting to navigate legal loopholes and bypass political opposition associated with the term CBDC. This suggests that advanced digital currency development may proceed through technical workarounds, requiring increased scrutiny from Congress regarding compliance and policy intent.

    Read at CATO

  31. 31.
    2026-06-16 | economy | 2026-W25 | Topics: China, Trade, United States

    While threats of non-renewal are not an immediate 'death knell' for USMCA, the instability surrounding the agreement poses significant economic risks. The core argument is that the U.S. relies heavily on Canada and Mexico—now its largest trading partners—due to deeply integrated supply chains across sectors like automotive and energy. These cross-border production networks are vital to American manufacturing, supporting millions of jobs through intra-industry trade. Therefore, maintaining certainty in North America is paramount; policymakers must work with regional partners to expeditiously conclude renewal negotiations and prevent the imposition of new trade barriers.

    Read at CATO

  32. 32.
    2026-06-16 | diplomacy | 2026-W25 | Topics: Russia, United States

    The article argues that authoritarian regimes are weaponizing American financial laws, such as the Bank Secrecy Act, to conduct 'transnational repression' against political dissidents and human rights activists. Key evidence includes instances where Russia targeted anti-corruption groups in the U.S., and how Nicaragua used asset freezing to silence opposition figures like Félix Maradiaga. The authors warn that democratic governments are becoming unwitting accomplices by allowing these financial surveillance systems to be misused, thereby enabling dictatorships to harass, spy on, and expropriate assets across national borders. Policy implications suggest Congress must re-evaluate the Bank Secrecy Act due to its high cost and limited return in preventing such international abuse.

    Read at CATO

  33. 33.
    2026-06-16 | society | 2026-W25 | Topics: Trade, United States

    The JAWBONE Act proposes a two-pronged approach to curb government coercion of private companies regarding content moderation, addressing the threat known as 'jawboning.' Key mechanisms include prohibiting government agencies from coercing platforms and establishing a private right of action, which allows individuals to sue unlawful government actors and bypass standing challenges. Furthermore, the bill mandates a transparency regime requiring agencies to publicly log and report communications with tech companies concerning specific speech content. This combination of legal accountability (punishment) and public disclosure (transparency) is intended to create a strong disincentive for federal overreach, significantly shielding American free speech from government pressure.

    Read at CATO

  34. 34.
    2026-06-16 | defense | 2026-W25 | Topics: China, Trade, United States

    The Senate NDAA proposes granting the Department of Defense explicit statutory authority for its Office of Strategic Capital (OSC) to make equity investments in private companies, effectively institutionalizing a 'Pentagon stock portfolio.' While the bill includes guardrails—such as caps on investment and limited sectors like critical minerals—the author argues that creating this permanent legal pathway is fundamentally flawed. This shift from necessary subsidies to ownership stakes risks fostering conflicts of interest, favoritism, and political pressure by giving the federal government continuing financial interest in private company valuations. Strategically, the policy analyst warns that instead of requiring taxpayers to become shareholders, Congress should utilize existing tools like procurement contracts or regulatory reform to secure domestic supply chains.

    Read at CATO

  35. 35.
    2026-06-16 | economy | 2026-W25

    The Cato Institute study refutes the long-held assumption that rising college tuition is a necessary response to state disinvestment in higher education. Analysis of 1980–2025 data shows that, contrary to belief, states have actually increased funding per student over the past decades. Crucially, the report finds a very weak correlation between changes in state funding and subsequent increases in tuition revenue, debunking the notion that tuition rises to offset perceived cuts. Policymakers should note that attempts by states to significantly boost funding merely to lower tuition are economically inefficient, as the return on investment is negligible.

    Read at CATO

  36. 36.
    2026-06-15 | economy | 2026-W25

    The article argues that Central Bank Digital Currencies (CBDCs) pose a fundamental threat to personal freedom because they introduce programmable money. Unlike traditional financial systems, CBDCs can be programmed by the state to restrict spending or entirely cut off funds for specific actions or purchases. This capability transforms money from a right of exchange into a tool of surveillance and control, shifting government power from merely taxing wealth to dictating how it must be spent. Policymakers should therefore treat the implementation of programmable currency as an immediate threat to civil liberties and economic autonomy.

    Read at CATO

  37. 37.
    2026-06-15 | economy | 2026-W25 | Topics: Europe, Trade, United States

    The article argues that Digital Services Taxes (DSTs) violate fundamental tax principles—such as taxing profit rather than gross revenue and requiring physical presence—and undermine stable international tax frameworks. Key evidence shows that while DSTs are politically motivated, their economic burden is largely passed through to consumers, often exceeding the tax revenue raised. Policy implications suggest that Congress should champion these core principles (net taxation, no double taxation, certainty) to oppose punitive digital levies and other threats, such as tariffs or overlapping corporate taxes, thereby protecting cross-border trade stability.

    Read at CATO

  38. 38.
    2026-06-11 | economy | 2026-W24 | Topics: Trade, United States

    This CATO analysis argues that the Federal Reserve should shrink its bloated balance sheet by reverting to a market-based approach where banks lend reserves to each other, rather than maintaining the current system where the Fed supplies most liquidity. The authors contend that the pre-2008 framework featured a functional interbank lending market that provided superior market discipline and price signals while coinciding with the Great Moderation's stable inflation and unemployment, whereas the post-2008 system created reserve abundance and has been associated with persistent inflation. Both contemporary 'supply-side' and 'demand-side' reform proposals fail to restore a true interbank market; the best solution is systematic reduction in the Fed's securities holdings to restore market-based reserve pricing and align the Fed's role with its function as lender of last resort.

    Read at CATO

  39. 39.
    2026-06-11 | economy | 2026-W24 | Topics: Middle East, Trade, United States

    After over a year of historically high tariffs, the US goods trade deficit remains largely unchanged, contradicting the Trump administration's tariff strategy. When adjusted for inflation, April 2026 data shows the deficit at roughly pre-tariff levels (2022–24), despite anomalies like petroleum exports from the Iran war and substantial non-monetary gold exports that temporarily reduce nominal figures. Most economists argue that trade deficits are driven by macroeconomic forces beyond tariffs' reach, and recent data appear to vindicate this view. The analysis suggests tariffs are an ineffective tool for addressing trade imbalances, undermining a core rationale of the administration's trade policy.

    Read at CATO

  40. 40.
    2026-06-11 | society | 2026-W24

    The latest NAEP results show that while 9-year-olds made modest gains, older students remain significantly below historical performance levels, with reading unchanged since 1971 and math only slightly improved since 1973. Despite tripling per-student spending since 1970 (now exceeding $20,000 annually), decades of centralized reforms have failed to produce improvements, indicating a fundamental accountability problem in the government monopoly system. The article argues that parental choice would create stronger incentives for school improvement than bureaucratic oversight, as families could leave underperforming schools with their funding. These persistent failures suggest that educational freedom and expanded school choice are necessary complements to address systemic underperformance.

    Read at CATO

  41. 41.
    2026-06-11 | society | 2026-W24 | Topics: United States

    Despite government warnings of intelligence "darkness," CATO argues that Section 702's lapse will have limited practical impact because existing FISC certifications are grandfathered through March 2027, other FISA authorities remain, and most signals intelligence operates under Executive Order 12333 independent of 702. The genuine operational constraint is the inability to issue new directives to service providers, not loss of existing capability. However, the author warns that surveillance capabilities will persist through 12333 without the oversight architecture—FISC review, congressional reporting, compliance procedures—creating operations without adequate accountability. This is particularly concerning given documented tripling of warrantless searches of sensitive targets (journalists, religious groups) in 2025 and the administration's disabling of independent oversight bodies. Congress should condition reauthorization on a warrant requirement for searches of Americans' data, addressing the core civil liberties problem.

    Read at CATO

  42. 42.
    2026-06-10 | economy | 2026-W24 | Topics: United States

    The Social Security Trustees report projects that the OASI Trust Fund will become insolvent in 2032, one year earlier than previously estimated, with an unfunded obligation now reaching $30 trillion (or $33 trillion excluding trust fund reserves). Cato's analysis argues the official projections underestimate the problem by 6–9 percent due to overly optimistic fertility assumptions compared to Congressional Budget Office and Census Bureau estimates. Closing the funding gap would require an immediate 34 percent increase in payroll taxes—from 12.4 percent to 16.65 percent—imposing roughly $2,900 additional annual burden on median workers, far exceeding public willingness to pay. The deterioration stems from tax policy changes, lower immigration, and declining fertility rates, all reducing future revenues and workforce size. Congress must act urgently to implement gradual reforms before automatic benefit cuts are triggered in 2032, as further delay increases the fiscal burden and makes policy options more severe.

    Read at CATO

  43. 43.
    2026-06-10 | society | 2026-W24

    A study of Illinois parole reform finds that reducing parole supervision for exiting prisoners lowered one-year reincarceration rates by 9–10 percentage points, driven almost entirely by fewer technical revocations rather than any change in criminal behavior. The research shows no evidence that reduced supervision increased crime; in fact, the absence of parole's ongoing threat of technical revocation appeared to offset any potential uptick. Policy simulations suggest that halving parole terms for low-to-medium-risk offenders could shrink average prison populations by roughly 3 percent with no harm to public safety, reinforcing the argument that existing parole systems inflate incarceration through procedural violations without meaningful safety benefits.

    Read at CATO

  44. 44.
    2026-06-10 | tech | 2026-W24 | Topics: AI, China, Cybersecurity, United States

    Government ownership stakes in AI companies—whether through Trump's equity partnerships or Sanders's proposed sovereign wealth fund—would create dangerous conflicts of interest between the government's regulatory role and shareholder incentives, potentially stifling competition and enabling government control over algorithms and user data. The article argues such ownership raises constitutional takings concerns, risks government picking winners at a critical early stage of AI development (comparable to backing MySpace or Yahoo in 1996), and could compromise free expression and privacy protections. Instead, policymakers should adopt a light-touch regulatory framework that keeps government as a neutral regulator, maintains low barriers to entry, addresses underlying labor and infrastructure concerns through targeted policy tools, and allows competition and innovation to drive AI development.

    Read at CATO

  45. 45.
    2026-06-10 | tech | 2026-W24 | Topics: United States

    CATO argues that the Blockchain Regulatory Certainty Act (Section 604 of the Digital Asset Market Clarity Act) is sound policy because it correctly distinguishes software developers from money transmitters, preventing those who write blockchain code but never hold user assets from being regulated as financial institutions. The article contends that opponents' law-enforcement concerns are misplaced, since the provision preserves criminal liability for knowingly handling illicit funds and is consistent with the DOJ's own position that writing code without criminal intent is not a crime. CATO further warns that failing to pass the provision would drive developers offshore—noting the U.S. share of open-source blockchain developers has already dropped from 25% to 18%—reducing law enforcement visibility while extending a Bank Secrecy Act surveillance regime that already costs $59 billion annually yet yields minimal investigative leads.

    Read at CATO

  46. 46.
    2026-06-10 | economy | 2026-W24 | Topics: Trade, United States

    The Social Security Trust Fund faces accelerating depletion, requiring larger-than-expected adjustments to taxes or benefits. While Americans recognize underfunding, most dramatically underestimate the severity—44% were surprised to learn that nearly 23% benefit cuts would be needed—and strongly resist reform (77% oppose benefit cuts, 77% reject even $1,300 annual tax increases). An independent bipartisan commission has the strongest public backing (71%), but without better understanding of necessary trade-offs, Congress faces formidable political obstacles to meaningful action. Gen Z notably diverges from older cohorts, with majorities supporting personal accounts and benefit reductions for current seniors to protect younger workers from tax increases. The article concludes that the political challenge of reform may ultimately prove harder than solving the fiscal problem itself.

    Read at CATO

  47. 47.
    2026-06-10 | health | 2026-W24

    H.R. 9186 proposes reforming the Controlled Substances Act by updating definitions of "accepted medical use," distinguishing dependence from abuse, and prioritizing scientific evidence in drug scheduling. The bill addresses how current overly restrictive definitions and law enforcement influence have impeded medical research and patient access to potentially therapeutic substances like psychedelics. Key reforms include broadening what qualifies as accepted medical use beyond FDA approval alone and requiring regulators to balance risks against medical benefits rather than focusing primarily on harms. If enacted, the bill could reduce research barriers, improve clinical care for patients, and move drug policy toward a more evidence-based approach, though it does not fully resolve law enforcement's role in medical decisions.

    Read at CATO

  48. 48.
    2026-06-10 | society | 2026-W24 | Topics: United States

    The testimony argues that DHS agents systematically violate constitutional rights—including due process, free speech, and protection against unreasonable search—with effective impunity due to gutted internal oversight, evidence withholding, ignored court orders, and claims of absolute immunity. Courts have found DHS likely violated the 1st, 4th, 5th, 10th, and 14th amendments, with documented examples including warrantless home invasions, wrongful arrests of citizens and legal immigrants, racial profiling, and violent incidents against peacefully protesting Americans. The witness contends that current law provides no meaningful remedy: citizens cannot obtain universal injunctions against unconstitutional policies, and federal law prohibits suits against federal agents. The testimony calls on Congress to eliminate this "amnesty for agents" by reforming federal law to allow Americans to sue DHS agents for constitutional violations in federal court.

    Read at CATO

  49. 49.
    2026-06-09 | energy | 2026-W24 | Topics: Climate, United States

    The article argues that centuries of pessimistic predictions about resource depletion have been repeatedly disproven by human innovation and adaptation. Drawing on economist Julian Simon's philosophy that human ingenuity is the 'ultimate resource,' the authors praise Secretary of Energy Chris Wright for adopting an optimistic approach to energy abundance rather than scarcity-based policies. They cite the shale revolution and recent policy shifts—such as energy superabundance workshops and Operation Gigawatt—as evidence that the US government is embracing innovation-driven energy strategy. The implication is that private sector-led, decentralized innovation rather than government planning drives progress, and meeting global energy demands requires policy frameworks encouraging experimentation and risk-taking.

    Read at CATO

  50. 50.
    2026-06-09 | economy | 2026-W24

    CATO proposes three higher education budget reforms—converting subsidized loans to unsubsidized, eliminating Federal Supplemental Education Opportunity Grants, and cutting work-study funding—that would save taxpayers money while improving outcomes by redirecting savings to Pell grants. The analysis demonstrates that these programs have inherent flaws: subsidized loans cost over $1 billion annually with minimal impact on enrollment, while campus-based aid is allocated based on historical political power rather than actual student need. CATO refutes opponents' claims that eliminating subsidies would increase average student debt by $6,000, showing through detailed calculations that the actual average impact would be under $400 per student, making this a fiscally prudent shift toward means-tested aid for the neediest students.

    Read at CATO

  51. 51.
    2026-06-09 | economy | 2026-W24 | Topics: China, Europe, Taiwan, Trade, United States

    The Trump administration's new tariffs on 59 countries and the EU, justified as a response to forced labor violations, appear to be protectionism disguised as human rights advocacy. The tariffs lack logical consistency in their application—countries with similar violations receive identical rates, major violators are excluded, and the total amounts suspiciously match previously struck-down tariffs. The U.S. position is undermined by its own record: it imports $144 billion in forced labor goods annually and refuses to ratify the 1930 ILO Forced Labor Convention. While politically effective because opponents risk appearing to support slavery, these tariffs are unlikely to meaningfully reduce forced labor in global supply chains.

    Read at CATO

  52. 52.
    2026-06-09 | economy | 2026-W24 | Topics: United States

    Trump Accounts, while well-intentioned, suffer from poor tax design that makes them less attractive than existing savings vehicles. Family contributions are not tax-deductible and investment gains face ordinary income taxation rather than capital gains rates, leaving savers worse off than using regular brokerage accounts. CATO recommends Congress simplify the structure by eliminating the $1,000 subsidy, making all contributions deductible, allowing tax-deferred growth, and converting accounts to flexible Universal Savings Accounts at age 18—modeled after Canada and the UK—rather than maintaining the current complex, restricted framework.

    Read at CATO

  53. 53.
    2026-06-09 | defense | 2026-W24 | Topics: Indo-Pacific, Trade, United States

    The article contends that recent US military strikes against drug trafficking vessels (200+ deaths since September 2025) are ineffective because supply-side enforcement cannot eliminate underlying demand. Drawing on economics and drug war history, the author argues that destroying shipments merely incentivizes traffickers to innovate, strengthens violent criminal organizations, and perpetuates cycles of violence and corruption across Latin America. The costs of prohibition—including civil liberties erosion, overdoses, and diplomatic tensions—far outweigh security benefits. The article concludes that the US should legalize drugs rather than continue an ineffective military strategy.

    Read at CATO

  54. 54.
    2026-06-09 | society | 2026-W24 | Topics: United States

    The FBI has revealed approximately 39,650 pages of FISA Section 702 noncompliance records spanning June 2023 to August 2024 through a court filing responding to a Cato Institute FOIA lawsuit. The agency is deliberately slow-rolling their release—producing only 128 pages initially on August 15, 2026—while Section 702 surveillance authority faces imminent expiration and congressional reauthorization votes. This timing appears strategic, preventing lawmakers and the public from accessing potentially damaging evidence of surveillance program violations during the critical reauthorization debate. The disclosure raises questions about government transparency, the constitutional viability of mass electronic surveillance, and whether officials are deliberately withholding evidence of noncompliance to influence legislative action.

    Read at CATO

  55. 55.
    2026-06-09 | tech | 2026-W24 | Topics: AI, Cybersecurity, Europe, United States

    The Obernolte-Trahan bill establishes a Congressional framework for federal AI policy, addressing the inadequacy of fragmented state regulations and temporary executive orders. The author advocates for a light-touch approach that treats AI as a general-purpose technology, using existing regulations and narrow safeguards for specific concerns like cybersecurity rather than prescriptive rules, drawing parallels to internet-era deregulation that enabled US digital leadership. The framework should prevent state patchwork while improving AI literacy and protecting civil rights and government use of AI. This Congressional approach aims to balance innovation with targeted protections, avoiding overly restrictive regulations that could inhibit beneficial future developments.

    Read at CATO

  56. 56.
    2026-06-08 | society | 2026-W24 | Topics: United States

    The article argues that the Sixth Amendment right to trial by jury has been effectively gutted by coercive plea bargaining, with 98.3 percent of federal convictions in 2022 coming from guilty pleas rather than trials. Using the case of Aaron Swartz—who faced a 15,000 percent sentencing increase for refusing a plea deal—as a focal point, the piece illustrates how prosecutors exploit charge stacking, mandatory minimums, and the resulting 'trial penalty' to pressure defendants, including innocent ones, into waiving their constitutional rights. The bipartisan Right to Trial Act (H.R. 9095) would require judges to review plea negotiation history when sentencing after trial and grant them authority to bypass mandatory minimums used punitively, representing a significant step toward rebalancing power between prosecutors and the judiciary in the federal criminal justice system.

    Read at CATO

  57. 57.
    2026-06-08 | society | 2026-W24 | Topics: Middle East, United States

    CATO argues that the FCC's public-interest doctrine, which treats broadcasters as public trustees with diminished First Amendment rights, rests on an outdated spectrum-scarcity rationale that has been rendered obsolete by cable, streaming, and the internet. The article traces how successive administrations—from Kennedy and Nixon to Trump—have weaponized FCC licensing power to coerce and punish broadcasters over their editorial choices, citing recent actions against CBS, ABC/Disney, and others. CATO calls for courts to extend full First Amendment protections to broadcasters, for Congress to repeal tools like the equal-time and news-distortion rules, and ultimately for a property-rights approach to spectrum governance that would eliminate the FCC's leverage over editorial content.

    Read at CATO

  58. 58.
    2026-06-08 | health | 2026-W24 | Topics: AI, Indo-Pacific, United States

    This article argues that large language models frequently project unwarranted certainty about contested scientific questions, particularly in public health debates. Using 7-hydroxymitragynine (7-OH), an alkaloid in kratom, as a case study, the author demonstrates how AI systems confidently describe it as a highly potent opioid with serious overdose risks, while recent scientific literature reveals ongoing debate about its pharmacology and safety profile—with evidence suggesting more complex, atypical receptor signaling and rare fatal overdoses. LLMs are trained to provide confident syntheses rather than distinguish between settled science and ongoing controversies, risking the amplification of moral panics around emerging substances. The author argues against regulatory approaches to resolve scientific disagreement and instead advocates for transparency about uncertainty, continued open debate, and scrutiny of confident claims from all sources. Policymakers considering substance restrictions should recognize that today's scientific controversy may become tomorrow's accepted therapy.

    Read at CATO

  59. 59.
    2026-06-05 | defense | 2026-W23 | Topics: China, Trade, United States

    The CATO analysis highlights a lobbying effort by the US Footwear Manufacturers Association (USFMA) to pass the Better Outfitting Our Troops (BOOTS) Act, which would restrict service members’ ability to purchase foreign-made combat boots. Evidence suggests this push stems from poor quality control issues with domestically produced boots and a desire to maintain protectionist measures, despite existing Berry Amendment restrictions. Military personnel themselves express preference for foreign boots due to superior fit, performance, and addressing specific operational needs, particularly in challenging environments. Ultimately, the attempt to limit foreign boot options undermines strategic flexibility and innovation within the military supply chain.

    Read at CATO

  60. 60.
    2026-06-05 | society | 2026-W23 | Topics: United States

    This CATO analysis highlights the escalating threat of federal interference in upcoming elections, focusing on attempts to manipulate voter rolls and disrupt mail voting processes. Evidence includes the Justice Department’s demands for state voter registration lists, the Trump administration’s executive order targeting voting machines, and instances of questionable search warrants impacting ballot security. The article underscores the vulnerability of state election systems and the need for proactive ‘target-hardening’ measures. Ultimately, the analysis emphasizes the importance of legal challenges and judicial oversight to prevent federal overreach and safeguard election integrity.

    Read at CATO

  61. 61.
    2026-06-05 | economy | 2026-W23 | Topics: United States

    A judge ruled that the Department of Homeland Security (DHS) unlawfully froze legal immigration benefits for citizens of 39 countries by violating the Immigration and Nationality Act (INA) and the Administrative Procedure Act. The court found that USCIS lacked statutory authority to halt adjudications and engaged in discriminatory practices, citing a lack of rational connection to national security concerns and inconsistent application of policies. This decision highlights significant mismanagement and potential fraud within DHS, with over $1 billion in fees collected without processing applications. The ongoing freeze on legal immigration, combined with State Department restrictions, continues to severely impact legal immigration flows, creating substantial challenges for the economy and workforce.

    Read at CATO

  62. 62.
    2026-06-05 | middle_east | 2026-W23 | Topics: United States

    The CATO Institute’s analysis of the defunct Anti-Weaponization Fund reveals a deeply flawed and potentially illegal initiative designed to shield former President Trump and his family from IRS audits. The fund, characterized as wasteful and lacking safeguards, was spearheaded by an acting attorney general with a unilaterally added provision granting audit immunity – a move widely viewed as resembling a self-pardon and potentially unconstitutional. Legal challenges and congressional opposition, culminating in a failed Senate vote, highlight the fund’s instability and the significant legal and ethical concerns surrounding its creation. Ultimately, the fund’s existence exposes vulnerabilities in executive power and raises serious questions about compliance with legal and fiduciary duties.

    Read at CATO

  63. 63.
    2026-06-05 | economy | 2026-W23

    CATO’s analysis of Ro Khanna’s proposed $25 minimum wage bill finds the proposal overly reliant on outdated comparisons and flawed reasoning. The bill, primarily pegged to two-thirds of national median hourly earnings, would likely result in a minimum wage closer to $16.34 in 2025 and $20.22 in 2031, significantly lower than Khanna’s $25 target. Evidence suggests that tying wages to productivity is misleading, as minimum wages primarily affect low-productivity sectors, and aggressive increases risk disemployment through layoffs or reduced hiring. The analysis highlights that the real value of the federal minimum wage has historically been much lower than Khanna’s claims, and that productivity gains don't automatically justify such a substantial wage increase.

    Read at CATO

  64. 64.
    2026-06-05 | economy | 2026-W23 | Topics: Trade, United States

    The CATO analysis reveals that the Trump administration’s WTO filing attempting to justify Section 122 tariffs is built on a legally unsound and historically inaccurate interpretation of international trade law. The filing argues that the US’s current account deficit constitutes a ‘large and serious’ balance-of-payments deficit, directly contradicting the established definition of a BoP crisis under the GATT, which centers on monetary reserves. Evidence presented—or rather, the lack thereof—demonstrates that US monetary reserves are not declining, and the administration’s approach ignores the congressional intent behind the Trade Act of 1974, which explicitly linked Section 122 to the GATT’s framework. This filing exposes the administration’s bad faith and opens the door to potentially unlimited protectionist tariffs, undermining the rules-based international trading system.

    Read at CATO

  65. 65.
    2026-06-05 | society | 2026-W23

    Representative Vargas’s analysis reveals a concerning trend within the Republican party: a lack of vocal opposition to expansive surveillance practices initiated by the Trump administration. Specifically, Vargas highlighted the ICE acting director’s justification for warrantless home entries, alongside the lowered financial surveillance thresholds and expanded surveillance areas, demonstrating a disconnect between Republican rhetoric about constitutional protections and their actions. This silence stems potentially from political influence and the heated nature of immigration policy debates. The implications suggest a vulnerability to future administrations utilizing similar surveillance tools, necessitating proactive policy measures like blocking executive orders and restricting geographic targeting orders to safeguard civil liberties.

    Read at CATO

  66. 66.
    2026-06-04 | economy | 2026-W23

    CATO’s analysis challenges the conventional narrative, arguing that poverty decline in the US predates and was largely driven by market income growth, particularly among African Americans, rather than government programs. The study utilized a revised poverty measure accounting for taxes and benefits, revealing significant reductions in poverty starting in the 1960s before Johnson’s ‘War on Poverty.’ This growth was fueled by rising wages and employment opportunities, not increased reliance on welfare. Consequently, the report suggests focusing on policies that foster economic growth and opportunity, rather than solely relying on expansive social safety nets.

    Read at CATO

  67. 67.
    2026-06-04 | defense | 2026-W23 | Topics: AI, Cybersecurity, United States

    CATO’s analysis of the Trump Administration’s executive order on AI and cybersecurity reveals a strategy focused on bolstering national resilience against emerging cyber threats posed by advanced AI models like Anthropic’s Mythos and OpenAI’s GPT 5.5. The order mandates a 30-day pre-deployment testing process, overseen by the NSA, to identify and assess these models, alongside establishing an ‘AI cybersecurity clearinghouse’ to coordinate vulnerability scanning. Key actions include strengthening the Department of Defense’s information systems and directing CISA to issue binding operational directives for civilian cybersecurity. While intended to foster AI dominance and improve cyber readiness, the order’s opacity and potential for government overreach raise concerns about stifling innovation and transparency. Ultimately, the initiative represents a reactive, defense-oriented approach to managing AI risks.

    Read at CATO

  68. 68.
    2026-06-04 | economy | 2026-W23 | Topics: United States

    This CATO Institute analysis argues against raising the federal minimum wage, asserting that the premise of a ‘problem’ is flawed. The effective minimum wage faced by most American workers is significantly higher than the current $7.25 federal rate, averaging $12.13 due to rising state and local minimums and productivity growth. A higher federal floor would disproportionately harm low-productivity sectors and rural areas where wage floors are already relatively high, potentially leading to widespread job losses. The analysis highlights that the size of the ‘bite’ – the ratio of the minimum wage to median wages – is a more critical factor in determining employment impacts, and that larger increases would be particularly disruptive. Ultimately, the report concludes that existing state and local minimum wage policies effectively address wage concerns, rendering a federal hike unnecessary and potentially detrimental.

    Read at CATO

  69. 69.
    2026-06-04 | health | 2026-W23 | Topics: United States

    CATO’s analysis criticizes the Trump administration’s approach to addressing health insurance affordability, specifically its focus on a temporary regulation change for ‘short-term limited duration insurance’ (STLDI) plans. The administration’s 2018 rule, which clarified the legality of longer-term STLDI contracts and resulted in stabilized Obamacare premiums and increased enrollment, was a successful response to prior Obama-era restrictions. However, the administration’s current strategy of relying solely on a short-lived regulatory fix represents a missed opportunity, lacking the permanence needed to incentivize insurer investment and address underlying affordability issues. The author advocates for a legislative solution to permanently codify the Trump rule, arguing that a regulatory-only approach is ultimately unsustainable and politically ineffective.

    Read at CATO

  70. 70.
    2026-06-04 | economy | 2026-W23 | Topics: United States

    The CATO analysis argues against the SEC’s proposed shift to semiannual financial reporting, contending that the justification of reducing short-termism is unsupported by evidence. Research, including a 2018 review and analysis of corporate investment and share repurchases, demonstrates that quarterly reporting has not demonstrably caused short-termism. Furthermore, the UK’s experience following its own mandated quarterly reporting revealed no impact on valuations, while highlighting the significant costs associated with the requirement. The core argument centers on restoring self-determination to companies and investors regarding reporting frequency, a principle supported by historical trends and cost savings.

    Read at CATO

  71. 71.
    2026-06-03 | tech | 2026-W23 | Topics: United States

    The Cato Institute argues that the Department of Labor’s proposed rule to inflate H-1B wages is unlawful and unnecessary, aiming to restrict the supply of skilled foreign workers rather than address genuine wage concerns. Evidence presented demonstrates that the proposed rule would disqualify over 80% of H-1B job offers, particularly for high-skilled workers like software developers, and would force many to leave the U.S. The DOL’s methodology relies on arbitrary percentile targets rather than market-based wage determination, ignoring the fact that H-1B workers are already paid above the average for their roles. This policy shift risks hindering business investment, job growth, and innovation within the tech sector.

    Read at CATO

  72. 72.
    2026-06-03 | society | 2026-W23 | Topics: Climate, Europe, United States

    CATO’s analysis argues that the FISA Section 702 program fundamentally violates the Fourth Amendment by treating bulk data collection of Americans as equivalent to a general warrant, a practice the Founding Fathers explicitly sought to abolish. The organization contends that the FISC’s ‘foreign intelligence exception,’ built upon judicial interpretation, is a constructed loophole rather than a genuine constitutional provision. Evidence cited includes the Founders’ use of encryption to protect their communications and the absence of a national security exception in the original Fourth Amendment text. Furthermore, the program’s architecture – collecting communications ‘to, from, or about’ foreign selectors – inherently sweeps in American data, creating a system of unwarranted surveillance. This ultimately necessitates a warrant requirement to protect individual privacy rights.

    Read at CATO

  73. 73.
    2026-06-03 | economy | 2026-W23 | Topics: United States

    This CATO Institute analysis argues against the continued expansion of the Federal Reserve’s balance sheet, asserting that the current size is primarily a result of past leadership failures to normalize operations after financial crises. The core argument rejects common justifications, including the claim that costless reserves promote efficiency, citing significant taxpayer losses through forgone Treasury remittances. Furthermore, the article dismisses concerns about market volatility, attributing the 2019 repo episode to regulatory factors rather than a fundamental imbalance in reserves. Finally, the analysis suggests a phased reduction through a congressional mandate ending Interest on Reserves (IOR) as a manageable strategy, emphasizing that the challenge lies in implementation, not the principle of balance sheet contraction.

    Read at CATO

  74. 74.
    2026-06-03 | economy | 2026-W23 | Topics: United States

    CATO’s analysis challenges the notion of a national housing affordability crisis, arguing that readily available metrics like house price-to-income ratios provide a misleading picture due to evolving housing quality and location preferences. The think tank emphasizes that affordability is best assessed by examining the relationship between down payments and household net worth, and ongoing mortgage payments relative to income, rather than solely focusing on the total price of a home. Data reveal that mortgage burdens, while elevated since 2020, remain within historical norms, and the required down payment is surprisingly manageable, particularly when compared to the 1970s and 1980s. Therefore, the report suggests a shift in focus away from broad affordability claims and towards localized issues of land-use regulations.

    Read at CATO

  75. 75.
    2026-06-02 | middle_east | 2026-W23 | Topics: Russia, United States

    CATO’s analysis reveals that President Trump reached a settlement with the federal government, establishing the $1.8 billion Anti-Weaponization Fund to compensate individuals allegedly targeted by ‘lawfare.’ This agreement stemmed from a dismissal of lawsuits against the IRS and involved the IRS forgoing certain audits related to Trump’s tax returns. The fund’s creation mirrors the Keepseagle v. Vilsack Judgment Fund, but raises significant legal questions regarding its constitutionality, potential expansion of presidential pardon power, and compliance with administrative procedures. Legal challenges to the fund’s operation, particularly regarding standing and potential constitutional violations, are ongoing, with initial lawsuits facing significant hurdles.

    Read at CATO

  76. 76.
    2026-06-02 | economy | 2026-W23 | Topics: United States

    CATO’s analysis argues that the Federal Reserve’s large balance sheet, regardless of claims to the contrary, carries significant and ongoing costs. The core argument is that proponents, like Dallas Fed President Lorie Logan and Fed Governor Chris Waller, justify maintaining the current system by citing complexities arising from post-GFC regulations and fiscal flows, effectively blaming external factors for the Fed’s own policy choices. Specifically, the argument that the Fed’s marginal cost of supplying reserves is small is misleading, ignoring the broader economic consequences of artificially maintaining low interest rates and the impact of IOR on bank behavior. Reducing the balance sheet and ending IOR payments are therefore critical policy reforms to restore a clear separation between monetary and fiscal policy and mitigate these financial burdens.

    Read at CATO

  77. 77.
    2026-06-02 | economy | 2026-W23 | Topics: AI, United States

    This CATO analysis argues that Donald Trump’s aggressive pursuit of government ownership stakes in private companies, particularly through his executive order and subsequent investments, has paved the way for Senator Bernie Sanders’s proposal for an American AI Sovereign Wealth Fund. The plan, mirroring Trump’s approach, involves a tax on AI companies resulting in federal ownership and board representation to exert political control. Critics highlight the inherent conflict of interest given the government’s existing regulatory role over these companies and draw parallels to problematic models like Norway’s wealth fund, which relies on government-controlled resource revenues. Ultimately, the article suggests this trend represents a dangerous expansion of state power and could be exploited by either party, as evidenced by the bipartisan support for similar initiatives during the CHIPS Act debate.

    Read at CATO

  78. 78.
    2026-06-02 | economy | 2026-W23 | Topics: Cybersecurity, Trade, United States

    CATO argues against delaying the cost-sharing requirements within the Supplemental Nutrition Assistance Program (SNAP) as part of the Farm Bill negotiations. The organization highlights that nearly $10.2 billion in improper payments were made in FY 2025, largely due to states lacking incentives to prevent fraud. The One Big Beautiful Bill Act (OBBBA) introduced matching fund requirements for states with high error rates, projected to save taxpayers over $40 billion between 2028 and 2034. Backpedaling on these provisions would not only delay significant savings but also undermine Congress’s credibility and commitment to combating welfare fraud. To strengthen SNAP integrity, Congress should prioritize reforms like enhancing EBT cybersecurity and bolstering the Treasury’s Do Not Pay system.

    Read at CATO

  79. 79.
    2026-06-01 | economy | 2026-W23 | Topics: Trade, United States

    CATO argues that the Securities and Exchange Commission’s (SEC) Consolidated Audit Trail (CAT) system represents an unconstitutional expansion of government surveillance, lacking clear congressional authorization and violating investor privacy rights. The Eleventh Circuit’s prior ruling against the SEC’s funding order highlights the system’s significant cost ($150 million annually) and potential for warrantless data collection, raising concerns about Fifth and Fourth Amendment protections. CATO contends that the CAT’s scope – tracking billions of trades daily – constitutes a ‘major question’ requiring explicit legislative approval. Therefore, the courts should invalidate the recent SEC order funding the CAT until proper congressional authorization is secured.

    Read at CATO

  80. 80.
    2026-06-01 | society | 2026-W23 | Topics: Trade, United States

    CATO’s analysis of Blackstone’s Commentaries highlights the enduring influence of natural liberty concepts on the American Founding Fathers. Drawing heavily on Blackstone’s emphasis on inherent rights – life, liberty, and property – particularly as articulated in Book 1, Chapter 1, the text demonstrates how these ideas, rooted in thinkers like Locke and the Magna Carta, provided a philosophical justification for resistance against perceived tyranny. This focus on individual autonomy and protection against government overreach directly informed the Declaration of Independence and the Virginia Declaration of Rights. Ultimately, Blackstone’s arguments, despite his own political leanings, served as a crucial foundation for the American commitment to limited government and the safeguarding of fundamental freedoms.

    Read at CATO

  81. 81.
    2026-06-01 | americas | 2026-W23 | Topics: United States

    Colombian voters decisively rejected leftist candidate Iván Cepeda and President Gustavo Petro’s policies, electing right-wing candidate Abelardo de la Espriella in the first round. De la Espriella’s platform centers on aggressively combating crime through a model mirroring El Salvador’s CECOT prisons, alongside increased public spending and deregulation. This outcome represents a significant setback for the Latin American left, following defeats in Chile and Bolivia, and signals a potential shift away from Venezuela-aligned policies. The victory is expected to increase pressure for democratization in Venezuela and solidify a conservative trend across the region, impacting the strategies of leaders like Claudia Sheinbaum and Lula da Silva.

    Read at CATO

  82. 82.
    2026-06-01 | economy | 2026-W23 | Topics: Trade, United States

    The Trump administration, despite a court order, is appealing a ruling requiring the return of $85 billion in tariff revenue illegally collected from American importers. This decision stems from CBP’s initial resistance to processing refunds through a newly developed system (CAPE), citing inadequate capacity, and a subsequent order from Judge Eaton demanding accountability. The government’s appeal seeks to limit refunds to those importers who have filed lawsuits, effectively excluding a significant portion of affected businesses, particularly smaller ones. This action highlights a continued disregard for legal judgments and raises concerns about the government’s commitment to rectifying past actions.

    Read at CATO

  83. 83.
    2026-06-01 | society | 2026-W23 | Topics: United States

    CATO’s analysis argues that the current system of single-member districts exacerbates gerrymandering and hinders proportional representation in congressional elections. The proposal advocates for multimember districts (MMDs), where multiple representatives are elected per district, allowing for a more accurate reflection of voter registration patterns. Using Florida as an example, the report demonstrates how MMDs can achieve greater proportionality, particularly with a smaller number of seats per district. Implementing MMDs would reduce partisan advantage, encourage coalition building, and ultimately improve the responsiveness of congressional representation.

    Read at CATO

  84. 84.
    2026-05-29 | economy | 2026-W22 | Topics: China, Trade, United States

    The article argues that the current administration's industrial policy, which involves government equity stakes in private companies, constitutes 'corruption by design.' Key evidence cited includes the controversial Vulcan deal, where federal funding appeared linked to political figures, demonstrating that government power is being used to confer private benefits rather than through objective market mechanisms. This practice creates a patronage system that distorts investment, elevates politically favored firms (like those in the rare earth sector), and poses national security risks by steering capital toward companies that may not be technically ready. Policymakers must abandon the model of the government acting as a venture capitalist, as this undermines free enterprise and replaces market competition with political access.

    Read at CATO

  85. 85.
    2026-05-29 | society | 2026-W22

    The CATO brief argues that South Carolina's Automatic License Plate Reader (ALPR) database constitutes a comprehensive, unchecked state surveillance system that poses severe risks to civil liberties and privacy. The system collects massive amounts of location data, which, once accessed, can expose highly sensitive personal information (e.g., political or medical affiliations) without requiring any evidentiary threshold. The primary danger highlighted is 'mission creep,' where technology initially justified for serious crime is inevitably misused for routine enforcement and political monitoring. Policy-wise, the brief warns that allowing this unchecked data collection sets a dangerous precedent, inviting the deployment of a full 'panopticon' of government monitoring technologies that track citizens' movements without due process.

    Read at CATO

  86. 86.
    2026-05-29 | economy | 2026-W22 | Topics: United States

    The article argues that birthright citizenship is a critical economic asset, estimating its total contribution to the U.S. economy at a conservative $7.7 trillion. This economic benefit is rooted in the incentive structure that encourages new citizens to invest in their human capital, skills, and assimilation into American culture, thereby creating a highly productive and skilled labor force. The authors warn that any policy restricting this right would be economically disastrous, undermining national productivity and creating an underclass of noncitizens. Therefore, the policy recommendation is to preserve the current status of birthright citizenship to maintain economic stability and growth.

    Read at CATO

  87. 87.
    2026-05-29 | society | 2026-W22

    The article argues that the criminal justice system frequently fails to protect the public from repeat violent offenders due to misplaced mercy and insufficient sentencing. Using examples of high-profile cases in Boston and Washington D.C., the author demonstrates that current leniency minimizes the threat posed by individuals who have proven themselves lethal. To ensure public safety, the policy recommendation is to drastically reduce the scope of the criminal code while mandating that those who pose an existential danger are incapacitated for the necessary duration. This reform must prioritize the state's duty to protect the community over political ideology or overly broad social welfare measures.

    Read at CATO

  88. 88.
    2026-05-29 | economy | 2026-W22 | Topics: Europe, United States

    The central argument is that government policies designed to 'protect' workers, such as restrictive labor regulations, actually depress wages and harm economic growth by reducing labor market fluidity. Research across OECD economies demonstrates that high job-to-job mobility correlates strongly with faster life-cycle wage growth and increased worker productivity. This fluidity is crucial because it incentivizes workers to invest in skills and forces firms to raise pay to retain talent. Policymakers should therefore focus on enacting reforms that enhance worker autonomy and mobility, rather than implementing policies that restrict job switching or increase labor costs.

    Read at CATO

  89. 89.
    2026-05-29 | economy | 2026-W22 | Topics: Trade

    Representative Davidson argues that the Bank Secrecy Act (BSA) has become a 'bloated surveillance machine' that generates excessive reports on lawful activity without providing proportional results. He cites the failure to adjust reporting thresholds, such as the $10,000 limit, for inflation as evidence of the law's inefficiency. Furthermore, Davidson warns that Central Bank Digital Currencies (CBDCs) represent the next, more invasive step toward government financial surveillance and control. The analysis suggests that policy reform is urgently needed to shift the focus from high-volume reporting to actionable intelligence to protect financial freedom.

    Read at CATO

  90. 90.
    2026-05-29 | society | 2026-W22 | Topics: United States

    The USPS has proposed sweeping changes to mail voting rules, significantly expanding the federal postal service's role from a mere delivery vendor to a key arbiter of election validity and ballot tracking. This shift transfers complex, previously localized functions—such as determining ballot eligibility and handling invalid returns—to the USPS, a role the author deems legally vague and operationally unfeasible. The proposed rule presents a massive infrastructural burden that the USPS would have to implement within months, raising serious doubts about its practical viability. Ultimately, the rule's implementation is highly vulnerable to ongoing legal challenges and logistical hurdles, suggesting potential instability in the nation's election administration.

    Read at CATO

  91. 91.
    2026-05-28 | economy | 2026-W22 | Topics: United States

    The article argues that personalized dynamic pricing (IDP), while raising consumer fears of exploitation, is a fundamentally efficient market mechanism that should not be banned. IDP, which adjusts prices based on individual data and changing market conditions, has historical precedents and helps allocate scarce goods to those who value them most, often leading to lower prices and reduced waste. Therefore, rather than implementing broad bans, policymakers should rely on strengthening existing antitrust laws and comprehensive data privacy regulations to address genuine anti-competitive abuse and market failures.

    Read at CATO

  92. 92.
    2026-05-28 | economy | 2026-W22 | Topics: United States

    Analysis of historical immigration quotas (1921, 1924) suggests that these restrictions negatively impacted the intergenerational mobility and wages of US-born white men, particularly in areas with high immigrant exposure. Conversely, the quotas may have modestly improved occupational prospects for Black men by reducing competition for lower-skilled urban jobs. The research suggests that immigrants generally complement native workers by increasing productivity, noting that the negative mobility effects were significantly larger for white men in counties reliant on non-English-speaking immigrant labor. Policymakers should consider the labor market dynamics and the complementary role of immigration when evaluating quota policies.

    Read at CATO

  93. 93.
    2026-05-28 | china_indopacific | 2026-W22 | Topics: China, Trade, United States

    The article argues that while reducing US dependence on China's rare-earth mineral supply chain is a critical strategic necessity, the government's industrial policy response is compromised by political favoritism. Key evidence highlights the rapid, $670 million federal funding commitment to Vulcan Elements, a startup linked to Donald Trump Jr.'s venture fund. This funding was reportedly fast-tracked and directed by a senior White House official, bypassing standard Pentagon vetting procedures. The implication is that efforts to secure critical domestic supply chains risk eroding public trust and suggesting that industrial policy may prioritize political connections over transparent, merit-based decision-making.

    Read at CATO

  94. 94.
    2026-05-28 | economy | 2026-W22 | Topics: United States

    The article argues that the Federal Reserve's post-2008 powers, particularly the ability to pay interest on reserves, have dangerously blurred the lines between monetary policy and fiscal spending, creating a 'fiscal time bomb.' This mechanism allows the Fed to easily accommodate excessive government debt spending, effectively enabling debt monetization and undermining the separation established by the 1951 Treasury-Fed Accord. To mitigate this risk, the author recommends that the Fed must shrink its balance sheet and, critically, that Congress revoke the authority to pay interest on reserves. These reforms are necessary to restore the Fed's independence and prevent the government from using the central bank for backdoor fiscal expenditures.

    Read at CATO

  95. 95.
    2026-05-27 | health | 2026-W22 | Topics: United States

    The article argues that reforming International Medical Graduate (IMG) licensing is critical for expanding healthcare access and addressing physician shortages in California. Key evidence shows that over 20 states have already adopted provisional licensing laws, allowing internationally trained physicians to practice after supervised training without repeating full US residency. Policy implications suggest that California should pass the proposed act to align with national trends, thereby expanding patient choice and utilizing experienced clinicians. This reform counters opposition arguments that prioritize protecting incumbent practitioners over the urgent need for qualified medical professionals in underserved communities.

    Read at CATO

  96. 96.
    2026-05-27 | americas | 2026-W22

    The article argues that exorbitant monetary fees imposed by local governments for converting property usage may constitute an unconstitutional taking under the Fifth Amendment. Using the Takings Clause, the authors assert that such fees fail to meet the Nollan/Dolan standard, which requires the government's demand to have both an essential nexus and rough proportionality to the land use. They contend that the massive fees cited in the New York case lack this proportionality, effectively amounting to an unconstitutional seizure of property. The policy implication is that the Supreme Court must rule on whether such excessive monetary demands, absent a direct property interest, can trigger a Fifth Amendment violation, potentially limiting municipal regulatory power.

    Read at CATO

  97. 97.
    2026-05-27 | economy | 2026-W22 | Topics: Europe, United States

    The article argues that Social Security's long-term funding shortfall is significantly underestimated because the Trustees rely on overly optimistic fertility assumptions. The analysis points out that the Trustees' projections for future birth rates are far more optimistic than current demographic trends or peer forecasts suggest, leading to a substantial underestimation of the program's true deficit. Using more realistic fertility rates increases the estimated 75-year shortfall from $27 trillion to $30-$31 trillion in present value terms. Policymakers must therefore exercise caution and not base Social Security reform decisions on these highly optimistic demographic assumptions, as doing so risks miscalculating the true scale of the long-term financial gap.

    Read at CATO

  98. 98.
    2026-05-26 | americas | 2026-W22 | Topics: United States

    The article argues that the Department of Justice (DOJ) operates under a dangerous double standard, aggressively prosecuting everyday citizens for minor infractions while simultaneously shielding political allies from accountability. This misconduct is evidenced by the creation of massive taxpayer-funded 'Anti-Weaponization Funds' and the granting of pardons to political supporters. Crucially, the author notes that the legal system systematically denies civil remedies to ordinary victims of federal misconduct, making it nearly impossible for them to seek justice for constitutional rights violations. Policy reform is urgently required to dismantle these legal shields and establish accessible civil accountability mechanisms that hold federal agents liable for overreach.

    Read at CATO

  99. 99.
    2026-05-26 | society | 2026-W22 | Topics: United States

    The analysis argues that expanding the Treasury's Do Not Pay (DNP) system is essential to prevent billions of dollars in improper payments within state-administered welfare programs. The core reasoning is that DNP, a real-time data-sharing tool, stops fraud at the point of issuance, which is far more effective than costly and often unsuccessful post-payment recovery efforts. Policy recommendations include legislative action to grant DNP access to broader data (such as income and employment records) and mandating its use across all states. Furthermore, the report stresses that technological improvements must be paired with structural reforms that hold states accountable for preventing waste and fraud.

    Read at CATO

  100. 100.
    2026-05-26 | health | 2026-W22 | Topics: Europe, Trade

    The decline in overdose deaths is not attributable to intensified law enforcement or the 'drug war,' but rather to shifts in user behavior and public health adaptations. Key contributing factors include younger generations engaging in fewer substances, a notable transition from injecting to smoking drugs (which carries a lower overdose risk than injection), and the widespread adoption of harm-reduction strategies like naloxone access and supervised consumption sites. Policy implications suggest that resources should be redirected away from prohibition and interdiction efforts and toward robust public health measures, emphasizing harm reduction and addressing the underlying behavioral and medical factors driving the decline.

    Read at CATO

  101. 101.
    2026-05-26 | economy | 2026-W22 | Topics: China, Russia, United States

    The analysis argues that the Bank Secrecy Act (BSA) is an inefficient and overly burdensome regulatory regime, noting that a massive volume of reports yields a disproportionately low number of criminal investigations. Key evidence highlights that the BSA is frequently abused by authoritarian regimes globally, which exploit the US-exported standard to target political dissidents and activists. Policy implications suggest a critical shift from mandatory 'compliance theatre' (volume reporting) to a genuine, data-driven, risk-based policy framework. Furthermore, the author warns that expanding the BSA regime, alongside digital ID proposals, exacerbates civil liberties concerns regarding government surveillance.

    Read at CATO

  102. 102.
    2026-05-26 | economy | 2026-W22 | Topics: AI

    The article argues that the proposed GUARD Financial Data Act is misguided because its over-regulatory approach undervalues data's utility, particularly in fighting fraud and developing AI services. Key provisions, such as data minimization and the right to deletion, could severely impede anti-fraud measures and innovative credit risk assessments that rely on comprehensive data sets. Furthermore, the Act fails to address the core issue of law enforcement's warrantless access to financial data, and its screen scraping rules create security vulnerabilities. Policymakers should therefore abandon broad federal over-regulation and instead focus on targeting specific, tangible harms caused by bad actors, while reforming law enforcement's data access powers.

    Read at CATO

  103. 103.
    2026-05-22 | society | 2026-W22

    The article argues that state mandates, such as California's requirement for 'implicit bias' training in continuing medical education (CME), violate the First Amendment by compelling private speech. The key reasoning is that the government-speech doctrine cannot be used to transform private educational content into state-owned speech merely by attaching it to professional licensing requirements. If allowed, this precedent could enable states to censor and dictate professional knowledge across numerous fields (e.g., law, accounting) through occupational licensing regimes. Policy-wise, the authors urge the Supreme Court to limit this doctrine, preventing states from using professional education requirements as a tool to enforce specific ideological viewpoints.

    Read at CATO

  104. 104.
    2026-05-22 | society | 2026-W22 | Topics: United States

    The DHS is drastically curtailing the ability for legal immigrants to adjust their status to permanent residency while remaining in the U.S., requiring most applicants to self-deport. The policy, which moves beyond previous slashes in processing, fundamentally changes the process from an internal adjustment to an external application at a consulate. Critics argue this move misinterprets decades of law, ignoring that the system was designed for temporary residents to eventually become permanent citizens. The implications are severe, potentially forcing hundreds of thousands of skilled workers and families to self-deport, triggering long-term bars on re-entry, and ultimately harming U.S. economic competitiveness.

    Read at CATO

  105. 105.
    2026-05-22 | economy | 2026-W22 | Topics: Russia, United States

    The author argues that the Bank Secrecy Act (BSA) has evolved into an overly intrusive and inefficient system of financial surveillance, effectively constituting a 'Bank Surveillance Act.' Key evidence highlights the massive compliance burden—where $59 billion is spent annually to generate 28 million reports that yield only 275 investigations—demonstrating poor resource allocation. Furthermore, the system is being weaponized by authoritarian regimes to target dissidents, while regulatory thresholds are continually lowered, expanding surveillance scope. Policy implications demand immediate Congressional reform to protect Fourth Amendment rights, arguing that the current structure threatens financial privacy and constitutional liberties.

    Read at CATO

  106. 106.
    2026-05-22 | americas | 2026-W22 | Topics: United States

    The analysis critiques a proposed $1.8 billion taxpayer-funded 'slush fund' designed to compensate individuals involved in promoting political interests, such as those related to the January 6th Capitol attack. The fund is characterized as a mechanism for political patronage rather than justice, featuring key structural flaws including secret administration, immunity from judicial review, and the permanent shielding of the Trump family from federal tax liability. These provisions collectively demonstrate an effort to bypass the rule of law and distribute public funds without public accountability. Strategically, the fund normalizes the use of state resources to reward political loyalty, signaling a dangerous erosion of democratic norms and potentially undermining the integrity of the American legal system.

    Read at CATO

  107. 107.
    2026-05-22 | economy | 2026-W22 | Topics: Climate, Trade, United States

    The article argues that the Federal Reserve requires fundamental 'regime change' to restore monetary discipline, citing the failure to control post-pandemic inflation and an excessively large balance sheet. Key reforms proposed include shrinking the Fed's assets, ending interest on reserves, and replacing discretionary policy with a transparent, rules-based framework. Implementing these structural changes is critical for insulating the central bank from political interference and preventing future inflationary excesses driven by fiscal dominance.

    Read at CATO

  108. 108.
    2026-05-21 | economy | 2026-W22 | Topics: AI, United States

    The article argues that the Trump administration is expanding its reach into private technology sectors, exemplified by the Commerce Department's plan to provide $2 billion in federal incentives to quantum computing firms in exchange for minority equity stakes. The author contends that this pattern is not legitimate investment but an improvised effort to create a pseudo-sovereign wealth fund under executive control. This practice is criticized for distorting competition, politicizing private investment, and undermining American capitalism by building a patronage market through government ownership by press release. The policy implication is that such federal overreach risks misallocating taxpayer capital and giving political officials undue influence over critical private industries.

    Read at CATO

  109. 109.
    2026-05-18 | energy | 2026-W20 | Topics: United States, Energy

    Secretary Chris Wright argues that the United States must achieve energy dominance to lead the next energy revolution. His core strategy emphasizes deregulation, allowing free markets to expand energy supply and types, thereby solidifying U.S. global leadership. While this market-driven approach is necessary, the policy faces significant domestic and international opposition. Consequently, the primary policy challenge is overcoming these headwinds to fully implement market-based solutions and secure American energy superiority.

    Read at CATO

  110. 110.
    2026-05-18 | economy | 2026-W20 | Topics: Trade, United States, Economy

    While the US government has shown progress in processing the $166 billion refund of illegal tariffs through the CBP's CAPE system, the process remains highly bureaucratic and far from complete. Key evidence shows an increase in validated applications and authorized refunds, but the system is plagued by technical failures and administrative complexity, leading to significant delays. Critically, even current authorizations leave over $100 billion in unlawful tariff revenue unreturned to importers. Strategically, the complexity of the refund process disproportionately burdens small businesses, necessitating urgent government intervention to resolve systemic issues and ensure full restitution.

    Read at CATO

  111. 111.
    2026-05-18 | society | 2026-W20 | Topics: NATO, Trade, United States, Society

    Virginia's new 'assault weapons' ban has triggered immediate, complex legal challenges in both state and federal courts. The plaintiffs are employing highly strategic legal maneuvers: the state case focuses exclusively on the Virginia Constitution to avoid federal jurisdiction, while the federal case is designed to build a record for a Supreme Court appeal, acknowledging existing unfavorable circuit precedents. These parallel lawsuits are not merely legal disputes; they represent a coordinated effort to force the Supreme Court to clarify the scope of the Second Amendment and state constitutional rights regarding modern firearms. The outcome could establish a significant national precedent for gun control policy across the United States.

    Read at CATO

  112. 112.
    2026-05-18 | society | 2026-W20 | Topics: Society

    The case study of Start Bright Learning Center argues that small, personalized microschooling models offer a highly effective alternative to traditional public education, particularly for struggling learners. Its success is attributed to a holistic curriculum that balances academics with hands-on, experiential projects and cultural integration, moving away from over-stimulation by screens. Crucially, the model's sustainability and accessibility are dependent on state-level school choice programs and scholarships. Policy implications suggest that supporting alternative educational structures through voucher or scholarship mechanisms is vital for improving educational equity and allowing community-driven learning centers to thrive.

    Read at CATO

  113. 113.
    2026-05-18 | economy | 2026-W20 | Topics: Middle East, United States, Economy

    The CATO argues that temporary gas tax holidays are merely political gimmicks and that Congress should instead permanently repeal the federal gas tax. While acknowledging that the war in Iran is the primary driver of high gas prices, the publication advocates for repealing the tax and devolving highway funding entirely to state and local governments. This decentralization is presented as a more efficient and less bureaucratic solution, allowing states—which are best positioned to assess local infrastructure needs—to manage funding through their own tax mechanisms. The policy implication is that Congress must use the upcoming highway bill reauthorization to permanently repeal the tax, thereby lowering prices and reducing federal overreach.

    Read at CATO

  114. 114.
    2026-05-18 | economy | 2026-W20 | Topics: Middle East, Economy

    Trump's approval rating regarding inflation has hit a historic low (-44%), surpassing the worst points recorded during both his and Biden's presidencies. This decline is attributed to persistent price increases, driven by energy shocks and geopolitical conflicts, which have pushed consumer prices above cumulative year-on-year wage gains. Economically, the failure to achieve falling prices, despite campaign promises, is eroding public confidence. Strategically, this deteriorating affordability trend poses a significant political risk for Trump, as economic stability and cost of living are paramount concerns for voters in the current election cycle.

    Read at CATO

  115. 115.
    2026-05-18 | society | 2026-W20 | Topics: United States, Society

    David J. Bier argues that restrictive immigration policies are detrimental to American society, citing research that shows immigrants—both legal and illegal—are net positive contributors who increase income, generate taxes, and improve public safety by reducing crime rates. He argues that current legal restrictions and the threat of mass deportation are counterproductive, leading to instability and undermining local governance. Policy recommendations include abandoning the 'mass deportation dream' and reforming legal pathways, while simultaneously ensuring that federal enforcement (DHS/ICE) prioritizes serious criminal fugitives over broad, indiscriminate arrests. This shift is presented as the only way to defend national safety, prosperity, and civil liberties.

    Read at CATO

  116. 116.
    2026-05-18 | society | 2026-W20 | Topics: Trade, United States, Society

    The analysis argues that while educational freedom programs are expanding, their current design is often flawed due to unstable funding and limited eligibility. Key evidence shows that when demand exceeds annual appropriations, programs create waitlists and uncertainty, undermining the promise of choice. For educational freedom to be sustainable, policymakers must move beyond piecemeal funding and integrate these programs into the state's core school funding formula. This systemic approach ensures reliable funding that grows automatically with student demand, maximizing opportunity while minimizing the risk of creating new educational barriers.

    Read at CATO

  117. 117.
    2026-05-18 | europe | 2026-W20 | Topics: Europe, Middle East, NATO, Nuclear, Russia, Trade, Ukraine, United States

    The article argues that President Trump's plan to withdraw U.S. troops from Europe is strategically beneficial, asserting that the U.S. presence acts as an unnecessary 'glue' that prevents natural European self-sufficiency. Proponents argue that Europe has fundamentally changed, possessing nuclear deterrents and the capacity for regional defense, making American military dominance obsolete. Withdrawal will incentivize European states to rapidly rearm and form natural regional blocs, thereby restoring a balance of power without requiring constant American subsidies. Furthermore, reducing U.S. bases in Europe is presented as a positive development, as it limits American power projection and potential involvement in the Middle East.

    Read at CATO

  118. 118.
    2026-05-18 | defense | 2026-W20 | Topics: China, Nuclear, Russia, United States, Defense

    The article argues that the proposed 'Golden Dome' homeland missile defense project is fiscally unsound and strategically infeasible, citing a projected cost of $1.2 trillion that consumes a massive portion of the defense budget for limited defensive capability. It contends that such systems are unlikely to protect against advanced threats and could dangerously increase the risk of preemptive conflict. Instead of funding this costly infrastructure, policymakers should focus on pragmatic, proven methods to de-escalate tensions and deter the use of nuclear weapons, rather than attempting to 'win' a nuclear war.

    Read at CATO

  119. 119.
    2026-05-18 | economy | 2026-W20 | Topics: Trade, United States, Economy

    The article argues that the Trump administration's tendency to treat policymaking as a series of personalized 'deals'—such as trading export permissions or government stakes for revenue—undermines predictable market function. Key evidence includes the president's personal investments in major companies like Nvidia, Intel, and Boeing, which are directly affected by the administration's discretionary policies. The core finding is that this 'government-by-deal' approach forces businesses to focus on political favor rather than sound business judgment. Therefore, the policy implication is that the executive branch must be restricted from wielding such broad, discretionary power over individual companies and sectors, favoring instead a neutral, predictable regulatory framework.

    Read at CATO

  120. 120.
    2026-05-09 | economy | 2026-W19 | Topics: United States, Economy

    This Cato Institute analysis argues that the President’s Economic Report of the President’s framing of the housing debate is heavily reliant on selective measurement choices that distort the reality of affordability. The report criticizes the report’s use of comparisons between house prices and income, highlighting that increased housing size and features contribute to higher costs, not necessarily a lack of affordability. Furthermore, the report challenges the interpretation of declining homeownership rates and birth rates, demonstrating how convenient endpoints can create a misleading narrative. Ultimately, the analysis suggests that focusing solely on supply-side interventions without acknowledging consumer preferences and market dynamics is a flawed approach to housing policy, advocating for minimal federal interference.

    Read at CATO

  121. 121.
    2026-05-09 | society | 2026-W19 | Topics: United States, Society

    This Cato Institute analysis, authored by William Baude, argues that the second Trump administration’s law firm executive orders represent an abuse of legitimate executive powers, rather than simply exercising nonexistent authority. The orders, which penalized firms based on their affiliations and associations, demonstrate a misuse of powers like security clearance revocation and contract termination. Baude highlights the courts’ reluctance to intervene in presidential actions due to concerns about institutional consequences, emphasizing that abuses of power can be difficult to address legally. Consequently, the analysis calls for congressional oversight and public scrutiny to hold the executive branch accountable when it exceeds its constitutional bounds.

    Read at CATO

  122. 122.
    2026-05-09 | tech | 2026-W19 | Topics: AI, Cybersecurity, Europe, United States, Technology

    This CATO analysis warns against a White House proposal to establish a pre-approval system for advanced AI models, framing it as a potential ‘kill switch’ over speech and innovation. The proposal, likened to an ‘FDA for AI,’ would grant the executive branch unprecedented control over the technology, raising concerns about regulatory capture, censorship, and the weaponization of government power. Evidence suggests this initiative is driven by cybersecurity concerns and a desire to retaliate against companies with dissenting viewpoints, exemplified by the Anthropic-Pentagon dispute. Such a prescriptive approach risks stifling innovation, chilling free speech, and placing the U.S. at a competitive disadvantage compared to nations with less restrictive regulatory frameworks.

    Read at CATO

  123. 123.
    2026-05-09 | society | 2026-W19 | Topics: United States, Society

    CATO’s recent congressional testimony, focused on the overcriminalization of American citizens through federal regulations, initially met with typical partisan friction. However, the publication of personal stories of individuals ensnared by the system, particularly the cases of John Moore, Tanner Mansell, and Michelino Sunseri, unexpectedly shifted the narrative. This prompted a direct response from President Trump, who issued an Executive Order and subsequently granted full pardons to the affected individuals. Following this, legislative efforts, including the Count the Crimes to Cut Act and the Mens Rea Reform Act, gained traction in Congress, demonstrating a tangible shift towards reducing regulatory offenses and emphasizing criminal intent in federal prosecutions. This highlights the power of evidence-based arguments and human-centered storytelling in influencing policy outcomes.

    Read at CATO

  124. 124.
    2026-05-09 | economy | 2026-W19 | Topics: Trade, United States, Economy

    The US Court of International Trade ruled on May 7th that President’s latest tariffs under Section 122 of the Trade Act of 1974 were unlawful, rejecting the administration’s argument that balance-of-payments deficits justified their imposition. The court cited specific, historical methodologies for measuring BoP deficits – liquidity, official settlements, and basic balance – which were largely obsolete by the time the Trade Act was enacted and no longer tracked by the Bureau of Economic Analysis. This decision reinforces the principle that Congress must retain control over tariff authority, preventing the executive branch from unilaterally invoking such powers based on broad economic indicators. While the immediate impact of the ruling is limited due to the lack of a nationwide injunction, it represents a crucial check on executive overreach in trade policy.

    Read at CATO

  125. 125.
    2026-05-09 | society | 2026-W19 | Topics: Society

    CATO’s analysis argues that the Pentagon’s campaign against Senator Kelly, including threats of pay reduction and potential criminal prosecution, is unconstitutional due to violating the doctrine of unconstitutional conditions. The DoD’s actions attempt to punish Kelly’s criticism of military policy through withholding government benefits, effectively imposing a monetary penalty on his First Amendment rights. The Cato brief highlights the risk of this precedent setting a dangerous trend where the executive branch could censor speech by military retirees. The DC Circuit Court’s expected ruling to uphold the injunction is crucial to safeguarding constitutional protections for retired service members.

    Read at CATO

  126. 126.
    2026-05-04 | economy | 2026-W18 | Topics: United States, Economy

    The article argues that modern banking regulations, specifically the Global Systemically Important Bank (GSIB) surcharge and complex risk-weighted capital frameworks, are overly punitive and counterproductive to economic health. The author contends that the GSIB concept is flawed, as bank failure is not the primary systemic risk, and the existing regulatory rules are unnecessarily complex, creating compliance jobs rather than safety. For policy, the publication advocates for Congress to eliminate the GSIB surcharge and expand the use of simpler, non-risk-weighted ratios, ideally allowing banks, investors, and customers to determine optimal capital levels, aligning with free-market principles.

    Read at CATO

  127. 127.
    2026-05-04 | economy | 2026-W18 | Topics: Trade, United States, Economy

    Despite a Supreme Court ruling invalidating billions in emergency tariffs, the subsequent refund process is highly bureaucratic and structured to minimize government payouts. The mandated Consolidated Administration and Processing of Entries (CAPE) system requires importers to file detailed, entry-by-entry claims and undergo intense scrutiny, a process that is costly and likely to exclude smaller businesses. This administrative complexity, coupled with the government's ability to apply deductions, ensures that the Treasury will retain a significant portion of the illegally collected funds. Strategically, while consumers are unlikely to receive direct refunds due to legal precedent, the burden of passing on savings is shifting to voluntary market mechanisms, such as logistics companies and major retailers.

    Read at CATO

  128. 128.
    2026-05-04 | economy | 2026-W18 | Topics: AI, Trade, United States, Economy

    The analysis argues that the current US AI boom is significantly fueled by imports of necessary inputs, such as servers, which are entering the country largely free of tariffs. This rapid domestic investment, while boosting GDP, is heavily reliant on favorable trade policies, specifically referencing a mid-2025 exemption from global tariffs. The core concern is that the AI industry benefits from a 'special' tariff-free treatment. Policymakers must therefore consider whether this favorable trade environment can be maintained or extended to other American industries, suggesting that the current boom may be more policy-dependent than organically sustainable.

    Read at CATO

  129. 129.
    2026-05-04 | americas | 2026-W18 | Topics: United States, Americas

    The article argues that the fear surrounding a temporary lapse of FISA Section 702—the 'going dark' myth—is largely unfounded. Intelligence collection can continue through multiple alternative authorities, including Executive Order 12333, traditional Title I warrants, and existing FISC certifications, even if the statute lapses. Furthermore, the Attorney General retains emergency surveillance powers, ensuring continuity of operations. While the lapse wouldn't immediately halt intelligence gathering, the primary policy focus must remain on reforming Section 702 to mandate probable cause before the FBI searches Americans' digital data.

    Read at CATO

  130. 130.
    2026-05-04 | society | 2026-W18 | Topics: Nuclear, United States, Society

    The article analyzes Kash Patel's defamation lawsuit, arguing that the case is highly likely to fail due to the stringent legal standard of "actual malice." This standard requires plaintiffs to prove the defendant's subjective state of mind—that they *knew* the statement was false or acted with *reckless disregard*—a burden the law does not make easy to meet. The author systematically dismantles Patel's claims, demonstrating that the law does not require journalists to be reasonable, conduct exhaustive investigations, or provide opportunities for comment. Strategically, this legal framework effectively shields media outlets, implying that public figures face an almost insurmountable barrier to achieving legal redress for defamation.

    Read at CATO

  131. 131.
    2026-05-04 | energy | 2026-W18 | Topics: Middle East, United States, Energy

    The article argues that OPEC's ability to control oil prices through production quotas is largely symbolic, citing that geological and technical realities prevent rapid, precise adjustments to oil output. Evidence suggests that quotas are frequently ignored, with the UAE exceeding its limits and its production volatility statistically mirroring that of the decentralized US market. Therefore, OPEC functions less as an economic cartel and more as a political club, using the appearance of control to rally against the West. The UAE's exit signals that geopolitical differences with regional rivals, such as Saudi Arabia, now outweigh the strategic importance of anti-Western solidarity.

    Read at CATO

  132. 132.
    2026-05-04 | health | 2026-W18 | Topics: United States, Health

    The article argues that the Office of the Surgeon General is an unnecessary and politically compromised institution that should be dissolved. The author uses the repeated cycle of controversial nominations—citing examples like Dr. Neshiewat and Dr. Means—as evidence that the office has drifted from its apolitical public health role into a politicized 'bully pulpit.' The core finding is that this 'mission creep' undermines trust in legitimate health functions and wastes Congressional time. Policy-wise, the author recommends that Congress eliminate the office entirely and reassign any necessary public health duties to existing, appropriate federal agencies.

    Read at CATO

  133. 133.
    2026-05-04 | americas | 2026-W18 | Topics: Middle East, United States, Americas

    The article argues that the recent 'Iran War' represents a 'post-deliberative' conflict, characterized by the near-total failure of Congress and the mainstream media to sustain robust public debate on the choice between war and peace. Key evidence cited is the lack of meaningful congressional deliberation or votes before the conflict, contrasting sharply with previous, albeit flawed, instances of military authorization. The implications are dire: this trend of congressional abdication and media passivity reinforces the 'imperial presidency,' necessitating sustained voter engagement and political pressure to restore constitutional oversight of executive military power.

    Read at CATO

  134. 134.
    2026-05-04 | economy | 2026-W18 | Topics: United States, Economy

    The CATO report argues that federal higher education programs are bloated and contain significant opportunities for structural reform, potentially saving taxpayers over $265 billion over the next decade. Key proposed reforms include eliminating subsidized student loans, capping or eliminating Public Service Loan Forgiveness (PSLF), and limiting interest waivers under the Repayment Assistance Plan. The authors argue that these changes are necessary not only for fiscal responsibility but also to improve the overall policy framework of student lending and aid. Implementing these reforms would require substantial legislative action to streamline spending and reduce the federal debt burden.

    Read at CATO

  135. 135.
    2026-05-04 | economy | 2026-W18 | Topics: United States, Economy

    CATO argues that proposed federal regulations, specifically those restricting institutional investors in Build-to-Rent (BTR) properties, are already causing significant contraction in housing supply. The key evidence is that the mere threat of such legislation has led developers to pause or abandon projects, freezing billions in investment and forcing capital redirection away from rental housing. The policy implication is that federal and local governments must withdraw from housing market decisions, as regulatory overreach creates unnecessary distortions and hinders the natural function of a complex, self-regulating market.

    Read at CATO

  136. 136.
    2026-05-04 | economy | 2026-W18 | Topics: Economy

    Oakmont Education demonstrates that specialized, career-technical education (CTE) is a highly effective alternative for at-risk youth, challenging the limitations of traditional academic models. The program's success stems from tailoring curricula to local economic demands—such as advanced manufacturing or healthcare—and utilizing industry professionals as instructors. This model emphasizes flexibility, individualized learning, and culminates in nationally recognized credentials, leading to high job placement rates and sustained post-graduation support. Policymakers should consider adopting similar integrated approaches, shifting educational funding and focus toward direct workforce alignment to improve labor supply and reduce social costs associated with dropout rates.

    Read at CATO

  137. 137.
    2026-04-27 | americas | 2026-W17 | Topics: United States, Americas

    The analysis concludes that the Trump administration has implemented policies that have cut legal immigration flows at a rate significantly higher (estimated 2.5 times) than the reduction in illegal entries. Key evidence includes massive declines across legal categories, such as asylum seekers (99.9% drop), refugees (90% drop), and family/student visas, driven by visa bans and new fees. These sweeping cuts are projected to harm US citizens seeking to reunite with relatives and undermine national economic stability. Strategically, the report argues that the administration's agenda is not merely focused on curbing 'illegal' immigration, but represents a broader, systematic restriction on all types of immigration.

    Read at CATO

  138. 138.
    2026-04-27 | economy | 2026-W17 | Topics: Trade, United States, Economy

    The article argues that the Trump administration's actions—including the firing of numerous Inspectors General (IGs) and proposing a 23% cut in real IG funding—undermine federal oversight and waste detection. Key evidence highlights that IGs have identified tens of billions of dollars in potential savings annually, making the proposed cuts fiscally counterproductive. The analysis concludes that weakening the IG system, which is vital for preventing fraud and waste, is irresponsible. Policymakers must therefore strengthen and adequately fund the IG system to ensure government accountability and effective spending reform.

    Read at CATO

  139. 139.
    2026-04-27 | middle_east | 2026-W17 | Topics: China, Indo-Pacific, Middle East, Nuclear, United States

    The conflict with Iran demonstrated that US forward military bases are highly vulnerable to sustained attacks, regardless of the US's conventional military overmatch. Iran leveraged its proximity and ability to launch missiles and drones against multiple US bases across the region, forcing the Pentagon to consider remote operations. This vulnerability necessitates a strategic reevaluation of the operational value of large, forward-deployed bases, raising questions about their utility in modern conflict and potentially impacting basing strategies across both the Middle East and the Indo-Pacific.

    Read at CATO

  140. 140.
    2026-04-27 | economy | 2026-W17 | Topics: Middle East, Russia, Trade, Ukraine, United States, Economy

    The article argues that the 'greedflation' narrative—which blames corporate price gouging for inflation—is economically unsound. It posits that recent price spikes, such as those in energy, are primarily the result of supply shocks (e.g., geopolitical conflicts like the war in Iran) or excessive monetary and fiscal stimulus. The author contends that market prices reflect true scarcity and opportunity cost, making corporate greed an insufficient explanation for widespread price increases. Policymakers, therefore, must shift accountability away from consumers and companies and instead hold governments and central banks responsible for the policies that generate inflationary pressures.

    Read at CATO

  141. 141.
    2026-04-27 | society | 2026-W17 | Topics: Europe, Nuclear, United States, Society

    The article argues that the intelligence community's core defense for Section 702 reauthorization—that it is technically impossible to filter US-person communications from foreign traffic—is factually incorrect. This claim is undermined by the existence of sophisticated, real-time jurisdictional-tagging and anonymization systems developed by the global financial sector for compliance purposes, proving the necessary technology is mature. Consequently, the author advises that Congress should reject current reauthorization bills, which are structurally flawed, and instead mandate a privacy architecture modeled after commercial best practices to ensure constitutional compliance.

    Read at CATO

  142. 142.
    2026-04-27 | energy | 2026-W17 | Topics: Climate, Trade, United States, Energy

    The Cato Institute argues that federal mandates and subsidies for corn ethanol, particularly through the Renewable Fuel Standard (RFS), constitute an expensive and unnecessary government intervention. The authors contend that these subsidies are an 'addiction' that primarily benefits large agricultural lobbies and refiners at the expense of taxpayers and consumers. Key evidence cited includes the fact that the RFS has been shown to increase emissions and that the mandates are not essential for fuel performance or market stability. Policy-wise, the report strongly recommends that Congress abolish the entire RFS program, allowing ethanol to find its place purely in the free market and removing government involvement from the transportation fuel business.

    Read at CATO

  143. 143.
    2026-04-27 | society | 2026-W17 | Topics: Society

    The article argues that small, personalized microschools offer a superior alternative to rigid, standardized educational systems by fostering holistic development. This model provides highly customized curricula that integrate culturally relevant social-emotional learning, current events, and hands-on STEM projects. Evidence highlights the efficacy of this approach, noting that students have achieved significant academic gains, with some advancing multiple grade levels through targeted instruction. Policy implications suggest that educational policy should shift to support flexible, individualized learning structures that prioritize real-world skill development and student agency over institutional conformity.

    Read at CATO

  144. 144.
    2026-04-27 | economy | 2026-W17 | Topics: China, Europe, Trade, United States, Economy

    This analysis argues that the administration's planned tariffs under Section 301 are likely a 'sham' because the decision to impose them appears predetermined, regardless of the investigation's findings. The author critiques the USTR's methodology for determining 'Structural Excess Capacity' (SEC), citing that the process relies on arbitrary benchmarks (such as the 80% utilization rate) and fails to establish clear causal links. Furthermore, the piece notes that the U.S. government itself utilizes numerous non-market policies and subsidies, suggesting that the US should examine its own trade practices rather than solely focusing on foreign nations. Consequently, the article warns that the impending tariffs may be based on legally and economically dubious data, signaling a potential overreach in US trade policy.

    Read at CATO

  145. 145.
    2026-04-27 | economy | 2026-W17 | Topics: United States, Economy

    While the CFPB's strategic plan proposes laudable reforms—such as focusing on tangible consumer harms and adhering strictly to statutory mandates—the article argues that these changes are insufficient to address systemic flaws. The core critique is that the Bureau's structure, including its unique funding and single-director model, inherently promotes overreach and a disregard for established law. Consequently, the author concludes that the agency's problems are not merely operational but structural, necessitating fundamental statutory reforms by Congress rather than temporary policy adjustments.

    Read at CATO

  146. 146.
    2026-04-27 | energy | 2026-W17 | Topics: Climate, Energy

    The article argues that while carbon emissions are a significant externality, traditional clean energy subsidies are an inefficient 'blunt instrument' because they reduce total energy costs and create distorted incentives. A theoretically superior approach is a Pigouvian carbon tax, as it unambiguously raises the price of carbon-based energy, encouraging efficiency. However, due to the political unpopularity and measurement difficulties of carbon taxes, the authors conclude that the most practical, least harmful policy response may be doing nothing, other than eliminating existing subsidies for carbon-based fuels.

    Read at CATO

  147. 147.
    2026-04-12 | society | 2026-W15 | Topics: Society

    The publication argues that conventional educational models often fail gifted and neurodivergent students, particularly those who are 'twice exceptional,' by failing to meet them where they are. Vanguard Academy demonstrates an alternative approach, utilizing a highly differentiated, hands-on curriculum that focuses heavily on executive functioning skills rather than standardized conformity. This model suggests that specialized, individualized educational environments are crucial for maximizing the potential of high-potential learners who fall outside traditional academic norms. Policy implications suggest a need for greater recognition and funding for non-standardized, specialized educational institutions that cater to the unique developmental needs of gifted and neurodivergent populations.

    Read at CATO

  148. 148.
    2026-04-12 | society | 2026-W15 | Topics: Cybersecurity, United States, Society

    The article argues that the current push for clean reauthorization of FISA Section 702 is based on misleading propaganda that systematically minimizes surveillance abuses and ignores critical legal flaws. Key evidence cited includes the political compromise and functional dismantling of oversight bodies, the disbanding of internal compliance offices, and the persistent, warrantless 'backdoor search' of American data. Strategically, the piece warns that Congress should not grant clean reauthorization, as the program's scope is expanding while the lack of judicial warrants for searching US-person data poses a significant threat to civil liberties.

    Read at CATO

  149. 149.
    2026-04-12 | americas | 2026-W15 | Topics: Americas

    Argentina's deregulation of satellite internet access, initiated by the Milei administration, has led to an explosive increase in connectivity, bringing services like Starlink to millions of previously isolated citizens. Key evidence shows that this liberalization has immediately boosted sectors such as mining, energy, tourism, and precision agriculture, proving that high-cost internet access was previously a regulatory bottleneck. This case serves as a model for how targeted deregulation can dismantle regulatory rents held by special interests, suggesting that deep economic liberalization is a powerful engine for broad national development and efficiency.

    Read at CATO

  150. 150.
    2026-04-12 | health | 2026-W15 | Topics: United States, Health

    The article argues that recent federal and state regulatory changes, exemplified by Virginia's new laws, constitute a return to prohibition by creating a 'regulatory cliff' for hemp-derived products. Key evidence includes Congress redefining hemp with strict THC thresholds and Virginia imposing an extremely low 2mg cap, provisions that will eliminate most low-cost, low-dose products and clear the market for existing, state-licensed medical operators. This policy shift has severe implications, as it forces compliant small businesses to close and pushes consumers who rely on these products out of the legal market. Consequently, the demand for these substances is likely to shift toward the illicit market, increasing risks associated with potency and lack of transparency.

    Read at CATO

  151. 151.
    2026-04-12 | energy | 2026-W15 | Topics: AI, Energy

    Texas's ERCOT grid is uniquely positioned to handle rapid electricity growth, particularly driven by AI data centers, but its traditional interconnection queue is becoming a bottleneck. The article argues that Consumer Regulated Electricity (CRE) is necessary to maintain this momentum by allowing large customers to bypass the queue and build dedicated, off-grid power supplies. This model, which complements the existing grid, enables projects to come online faster, thereby lowering costs, improving reliability, and accommodating the massive new load demands. Policymakers should adopt CRE to ensure regulatory certainty, allowing Texas to continue its rapid development cycle and solidify its role as a major economic power.

    Read at CATO

  152. 152.
    2026-04-12 | health | 2026-W15 | Topics: United States, Health

    CATO critiques the Center for American Progress's (CAP) proposed health care regulations, arguing that further government intervention will fail to deliver affordability and may increase costs. The analysis points to the rising spending projections for Part D plans and the limited success of previous interventions, such as the IRA and Obamacare, as evidence of regulatory failure. The author contends that proposals like price caps on hospitals or tightening Medical Loss Ratio (MLR) rules are flawed because government price-setting often increases market inefficiency and overall spending. Consequently, the brief implies that the US needs a fundamental shift away from regulatory overreach to achieve affordable and universal care.

    Read at CATO

  153. 153.
    2026-04-12 | americas | 2026-W15 | Topics: Middle East, United States, Americas

    The article argues that invoking the 25th Amendment to remove a president due to poor judgment or rhetoric is an unapt, antidemocratic, and politically difficult solution. Instead of relying on this constitutional backstop, the author suggests Congress should utilize its existing legislative powers to constrain a rogue executive. Policy strategies should focus on strengthening the Senate's role in vetting nominations, leveraging the House's impeachment power, and using annual funding bills to limit executive overreach. Ultimately, the piece warns that the true policy failure is Congress's continued tendency to delegate too much power to the executive branch.

    Read at CATO

  154. 154.
    2026-04-12 | americas | 2026-W15 | Topics: Americas

    The brief argues that federal 'equitable sharing' asset forfeiture programs threaten state sovereignty by allowing federal prosecutors to adopt state cases while bypassing established state safeguards. This system effectively turns law enforcement into a revenue stream, as demonstrated by attempts to seize personal assets without full state legislative buy-in. The core finding is that federal adoption of state forfeiture actions undermines state law and compromises constitutional property rights, challenging the principles of federalism. Policy-wise, this highlights a critical tension where federal overreach in law enforcement funding compromises the ability of states to govern their own officers and legal practices.

    Read at CATO

  155. 155.
    2026-04-12 | economy | 2026-W15 | Topics: Europe, United States, Economy

    The article argues that the US tax system is highly progressive, with the top 10% of earners paying a disproportionate share of federal revenue. While the US maintains a relatively low overall tax burden compared to high-tax European nations, the current spending trajectory is fiscally unsustainable, leading to mounting debt. The analysis concludes that the current path requires either massive tax increases or drastic spending cuts. Therefore, the primary policy recommendation is that Congress must reduce government spending to maintain the US's low tax burden and avoid future tax hikes.

    Read at CATO

  156. 156.
    2026-04-09 | europe | 2026-W15 | Topics: China, Europe, Russia, Trade, Ukraine, United States

    A Cato Institute analysis argues that Viktor Orbán's Hungary has eroded the rule of law and free markets, moving away from its initial liberal democratic foundations. The report highlights a significant decline in Hungary's freedom scores across various indices, including Freedom House, V-Dem, and the Human Freedom Index, demonstrating a shift towards an 'illiberal state' characterized by centralized power, cronyism, and weakened institutions. This serves as a cautionary tale against unrestrained executive power and a departure from democratic norms, contrasting sharply with Orbán's self-portrayal as a 'freedom fighter'.

    Read at CATO

  157. 157.
    2026-03-29 | defense | 2026-W13 | Topics: China, Middle East, Nuclear, Russia, United States, Defense

    The Trump administration's proposed 'Golden Dome' air and missile defense system, modeled on Israel's Iron Dome, faces fundamental viability challenges exposed by Iran's recent military operations. Iran's successful penetration of Israel's AMD system through mass missile attacks and saturation tactics demonstrates that such defense networks can be overwhelmed by determined adversaries with greater capabilities than Iran, such as China or Russia. The system's cost-benefit analysis is deeply unfavorable: interceptors cost $12.7 million each while Iranian missiles cost $1-2 million, and the system's estimated $844 billion to $1.1 trillion price tag would provide minimal strategic benefit and represent a wasteful opportunity cost when resources are desperately needed elsewhere.

    Read at CATO

  158. 158.
    2026-03-28 | economy | 2026-W13 | Topics: Middle East, United States, Economy

    The article argues that the Federal Reserve's control over market interest rates is often overstated, with market forces frequently dictating rate movements. This is evidenced by recent Treasury auctions where rates surged independently of any Fed policy changes, demonstrating the Fed's reactive rather than proactive role in setting rates. The author suggests that Congress should impose guardrails on the Fed's discretionary powers, advocating for a more objective, rule-based monetary policy to enhance accountability and align better with market conditions.

    Read at CATO

  159. 159.
    2026-03-28 | economy | 2026-W13 | Topics: Middle East, United States, Economy

    CATO argues the Federal Reserve's defense of its Interest on Reserves (IOR) program is fundamentally flawed. The Fed claims IOR and Treasury securities are fiscal equivalents, but this week's weak Treasury auction demonstrates they are not: investors carefully price Treasurys based on inflation and duration risk, while IOR is administratively set with no market discipline. The article contends this substitution argument ignores how markets function and allows the government to monetize debt without the market signals that would otherwise discipline fiscal spending.

    Read at CATO

  160. 160.
    2026-03-28 | society | 2026-W13 | Topics: Europe, United States, Society

    A CATO study utilizing 2024 American Community Survey data reveals that both legal and illegal immigrants are significantly less likely to be incarcerated than native-born Americans. In 2024, native-born Americans had an incarceration rate of 1,195 per 100,000, compared to 674 for illegal immigrants and 303 for legal immigrants, a trend consistent since 2010. The findings suggest that mass deportation of illegal immigrants will not reduce crime rates, and policy should instead focus on removing non-citizen criminals while improving data collection on the immigration status of those arrested or convicted.

    Read at CATO

  161. 161.
    2026-03-28 | economy | 2026-W13 | Topics: Europe, United States, Economy

    The U.S. Postal Service (USPS) is in a severe financial crisis, losing money annually since 2007 due to declining mail volumes and intense competition, with structural reforms hindered by Congress. Postmaster General David Steiner has proposed closing unprofitable retail locations and reducing delivery frequency. However, the CATO Institute advocates for privatizing the USPS to enable greater efficiency, allow it to compete on a level playing field, and adapt its services to modern communication demands.

    Read at CATO

  162. 162.
    2026-03-28 | society | 2026-W13 | Topics: Trade, United States, Society

    States are reportedly exploiting loopholes in the "One Big Beautiful Bill Act" (OBBBA) to manipulate Supplemental Nutrition Assistance Program (SNAP) error rates, thereby avoiding federal penalties for improper payments. The "Alaska Carveout" and other tactics, such as weakening quality control and using "no good cause" waivers, allow states to delay or circumvent financial repercussions, undermining the act's intent to improve program integrity. This leads to perverse incentives where states are rewarded for maintaining high error rates rather than fixing underlying problems. Congress is urged to eliminate these loopholes to strengthen OBBBA reforms and ultimately consider shifting SNAP funding responsibility to states to curb waste and fraud.

    Read at CATO

  163. 163.
    2026-03-28 | economy | 2026-W13 | Topics: Indo-Pacific, Trade, United States, Economy

    US commercial shipbuilding is nearly extinct, producing only ~1 ship annually and representing just 0.04% of global output, with domestic vessels costing five times more than South Korean alternatives due to labor shortages, outdated infrastructure, and weak supply chains. The Jones Act, intended to protect the industry by mandating domestic construction of vessels used in US waters, has paradoxically reduced competitiveness while raising water transportation costs and preventing LNG access to regions like New England and Alaska. Steel tariffs and restrictive immigration policies further compound these challenges. The case for Jones Act reform or repeal has never been stronger, despite uncertain political prospects.

    Read at CATO

  164. 164.
    2026-03-28 | society | 2026-W13 | Topics: Society

    Hunt Davidson created the Logos Tutoring Program to address educational disengagement in adolescent boys through a three-year immersive curriculum combining classical learning (ancient Greek, permaculture), outdoor education (10 hours weekly in nature), and one-on-one mentoring in rural Georgia. The program deliberately exposes boys to challenges, failures, and hardship in a safe environment to build resilience and self-ownership, incorporating liturgical practices and wilderness survival training. Drawing from his experience at St. John's College, Davidson's approach emphasizes what he describes as 'mythological, agrarian, and monastic' principles—storytelling, land stewardship, and contemplative practice—suggesting an alternative educational model that prioritizes character development and emotional growth over traditional classroom instruction.

    Read at CATO

  165. 165.
    2026-03-28 | society | 2026-W13 | Topics: United States, Society

    The article highlights a critical lack of transparency in the Department of Homeland Security's (DHS) spending of $191 billion from the One Big Beautiful Bill Act (OBBBA), particularly for Immigration and Customs Enforcement (ICE) and Customs and Border Protection (CBP). Despite significant apportioned funds, Congress lacks comprehensive public accounting of how the money is being obligated and spent, hindering effective oversight. For example, ICE's monthly expenditures have doubled, with billions allocated to detention facilities, while CBP has tens of billions for border wall construction. This situation weakens governmental checks and balances, leading to concerns about potential misuse of taxpayer resources. The author advocates for rescinding unobligated funds, funneling future allocations through regular appropriations, and enhancing reporting requirements to restore accountability.

    Read at CATO

  166. 166.
    2026-03-28 | economy | 2026-W13 | Topics: Economy

    A recent study on Seattle's 2024 per-task minimum pay policy for app-based gig workers reveals that while the initiative successfully raised per-task wages, it inadvertently led to a significant reduction in average tips, increased unpaid idle time, and longer distances driven between tasks. Consequently, the policy resulted in no effective increase in monthly earnings for incumbent drivers, as higher per-task pay was offset by these negative factors. This case suggests that well-intentioned interventions aimed at boosting gig worker pay can backfire, highlighting the complex dynamics of labor markets and the potential for unintended consequences in policy implementation.

    Read at CATO

  167. 167.
    2026-03-28 | economy | 2026-W13 | Topics: Middle East, United States, Economy

    Congress should require at least $600 billion in net deficit reduction if it uses reconciliation for new spending on the Iran war ($200 billion) and immigration enforcement, given the nation's unsustainable fiscal trajectory with federal debt projected to exceed GDP this year and reach 175% by 2056. The article identifies mandatory entitlements (Medicare and Social Security) as the primary drivers of persistent $2 trillion annual deficits, with the proposed $200 billion spending addition carrying a true cost of $287 billion including interest and indirect expenses. Multiple cost-saving reforms to Medicare, Medicaid, SNAP, and tax provisions could easily exceed $1 trillion in savings, providing ample offsets. The article argues Congress should restore fiscal rules like the Conrad Rule or implement a 2:1 offset requirement to ensure reconciliation becomes a tool for fiscal discipline rather than deficit expansion, preventing the bipartisan abuse that plagued previous reconciliation efforts.

    Read at CATO

  168. 168.
    2026-03-19 | society | 2026-W12 | Topics: Middle East, United States

    The article argues that the US government is committing a $1 billion fraud by collecting immigration fees for services it has no intention of providing due to broad nationality-based bans. This claim is based on recent executive and departmental policies that freeze visa processing and benefit adjudications for citizens of up to 92 countries, often without statutory authority or prior notification to applicants. The author highlights that these measures disproportionately affect millions of legal applicants and calls for Congressional action to mandate fair adjudication and transparency in the immigration system.

    Read at CATO

  169. 169.
    2026-03-19 | economy | 2026-W12

    This article examines the current U.S. tax system, noting that while large amounts of income are already exempt from federal taxation, these benefits are applied unevenly across different household circumstances. It highlights how recent policy expansions, such as 'no tax on tips' and child tax credits, allow some well-situated families to shield over $150,000 in income while others with identical earnings face higher liabilities. The author argues that further layering of targeted exemptions risks increasing system complexity and revenue volatility, advocating instead for consolidating existing credits into a single, uniform deduction to ensure greater consistency and economic efficiency.

    Read at CATO

  170. 170.
    2026-03-19 | economy | 2026-W12 | Topics: United States

    The article analyzes H.J. Res. 139, a balanced budget amendment by Rep. Andy Biggs that caps federal spending at a three-year rolling average of revenues adjusted for population growth and inflation, targeting structural primary balance rather than rigid annual balance. This design draws on Switzerland's successful debt brake, which has helped reduce Swiss debt-to-GDP by allowing cyclical flexibility while enforcing medium-term discipline. However, the amendment contains two significant flaws: a wartime exception requiring only a simple majority that creates perverse incentives for declarations of war to bypass spending limits, and a two-thirds supermajority requirement for tax increases that undermines political neutrality and makes bipartisan ratification virtually impossible. The author recommends fixing both the emergency loophole and the tax-increase provision to produce a durable, credible fiscal rule.

    Read at CATO

  171. 171.
    2026-03-19 | middle_east | 2026-W12 | Topics: China, Europe, Middle East, Russia, Trade, United States

    The article contends that a U.S. ground invasion of Iran would be a catastrophic undertaking, dwarfing the scale of the Iraq and Vietnam wars due to Iran’s punishing mountainous terrain and dense urban centers. Achieving total surrender would realistically require up to 1.6 million troops, a mobilization that would compromise other global security commitments and likely necessitate a military draft. The author highlights that Iranian "mosaic" defensive strategies and regional militias would trigger a prolonged insurgency while allowing rivals like Russia and China to exploit American overextension. Consequently, the analysis advocates for immediate de-escalation to avoid a strategic quagmire and preserve U.S. military readiness.

    Read at CATO

  172. 172.
    2026-03-19 | economy | 2026-W12 | Topics: United States

    This CATO article revisits Federal Reserve Chairman William McChesney Martin Jr.'s famous 1955 'punch bowl' speech, arguing that its deeper message—beyond the well-known monetary policy metaphor—centers on the moral case for free enterprise, limited government, and individual economic freedom. Martin advocated a humble, rules-based approach to monetary policy focused on long-run price stability, warning against central planning and excessive government control. The article draws lessons for today's policy environment, cautioning against political pressure to expand the Fed's mandate into fiscal monetization, environmental, and social objectives, and argues that a simple monetary rule could replace much of the Fed's current discretionary framework.

    Read at CATO

  173. 173.

    The article argues that despite the United States' shift toward aggressive protectionism and abandonment of multilateral leadership, the remaining 165 WTO members can and should continue global trade liberalization independently. By adopting a WTO-based plurilateral approach and moving away from strict consensus decision-making, these nations can address 21st-century challenges like digital trade while bypassing American commercial recalcitrance. Evidence suggests that global supply chains are already reconfiguring through 'trade deflection' and new non-US agreements, proving that international trade can persist without the U.S. at its center. Ultimately, collective action within the WTO framework is necessary to prevent global economic fragmentation and to maintain the rule-based system until the U.S. returns to a cooperative role.

    Read at CATO

  174. 174.
    2026-03-19 | economy | 2026-W12 | Topics: Middle East, Trade, United States

    The article argues that the reported move to waive the Jones Act underscores how the 1920 law structurally inflates domestic transportation costs and restricts supply chain flexibility, particularly for energy and fertilizer. By limiting domestic shipping to a tiny, expensive fleet of US-built vessels, the act forces inefficient workarounds and increases reliance on foreign energy imports rather than domestic resources. The author contends that while a waiver would not single-handedly slash fuel prices, it would enhance competition and capacity in a stressed market. Ultimately, the frequent need to suspend the law during emergencies suggests that its permanent removal would better serve long-term economic and national security interests.

    Read at CATO

  175. 175.
    2026-03-19 | society | 2026-W12

    This article argues that public defenders serve as an essential check on state power in the criminal justice system, acting as 'friction in the machine' that prevents governmental overreach and protects constitutional rights. Drawing on the author's experience as a public defender in Pueblo, Colorado, and the legacy of Gideon v. Wainwright, the piece contends that plea-driven mass adjudication has displaced jury trials while jails overflow with low-level offenders even as clearance rates for serious crimes decline. The author highlights that with over 5,000 federal statutory crimes and 400,000 regulatory offenses, virtually anyone could face prosecution, making robust public defense a universal safeguard. The implications point toward the need for greater investment in indigent defense and reforms to bail and plea-bargaining systems to restore the adversarial process the Framers intended.

    Read at CATO

  176. 176.
    2026-03-19 | society | 2026-W12 | Topics: Trade, United States

    FISA Court Judge Boasberg has ordered the Trump DOJ to disclose Section 702 noncompliance records by April 10, responding to a Cato Institute FOIA lawsuit, as Congress prepares to vote on the surveillance program's future. The article argues that Section 702's warrantless 'incidental collection' of communications between US firearms importers and foreign suppliers effectively creates an illegal shadow firearms registry, violating the Firearm Owners Protection Act's explicit prohibition on federal gun registries. Cato contends that the structural standing barriers from the Supreme Court's Clapper ruling have shielded Section 702 from judicial review, but FOIA litigation and statutory challenges under FOPA may offer viable paths to contest surveillance overreach at the intersection of Fourth and Second Amendment rights.

    Read at CATO

  177. 177.
    2026-03-19 | economy | 2026-W12 | Topics: Trade, United States

    The CATO Institute argues that the Trump administration's 60-day Jones Act waiver for energy and fertilizer shipments is an implicit admission that the law itself is a supply chain impediment rather than a national security asset. The article notes that only a tiny fraction of global vessels comply with the Jones Act—zero oceangoing dry bulk ships for fertilizer, one LNG tanker, and just 54 oil tankers out of nearly 7,500 worldwide—while US shipbuilding is in 'near total collapse' and the Jones Act-compliant fleet has halved since 1980. CATO contends that rather than relying on legally questionable temporary waivers, Congress should repeal the Jones Act entirely to permanently lower shipping costs, strengthen supply chains, and develop a more effective maritime policy.

    Read at CATO

  178. 178.
    2026-03-19 | society | 2026-W12 | Topics: Middle East, United States

    The article argues that the FCC's threat to revoke broadcast licenses over allegedly inaccurate war reporting represents a dangerous government overreach into content regulation and free expression. Drawing on the FCC chairman's warning to broadcasters during the Iran conflict, CATO traces how outdated Supreme Court precedents (NBC v. United States, Red Lion) grant the FCC unusually broad authority to police broadcast content under a 'public interest' standard, effectively giving broadcasters 'junior varsity' First Amendment rights. The piece contends that truth emerges through open debate in the media marketplace, not government diktat, and that wartime conditions have historically been exploited to suppress dissent—from the 1798 Sedition Act to Cold War-era broadcast suppression. CATO recommends abolishing the FCC's public interest licensing framework entirely and moving to spectrum auctions, which would eliminate the legal basis for government content regulation of broadcasters.

    Read at CATO

  179. 179.
    2026-03-09 | society | 2026-W11 | Topics: AI, China, Trade, United States

    The CATO Institute argues that Section 230 remains the foundational legal framework for American online innovation and free expression by protecting platforms from liability for user-generated content. The report highlights how these protections prevent a 'moderator's dilemma' where legal risks would otherwise force companies to either censor aggressively or abandon moderation entirely, disproportionately harming smaller competitors. It warns that weakening this framework amid the rise of generative AI would entrench incumbents and cede technological leadership to foreign adversaries. Consequently, the author recommends preserving Section 230's core principles while establishing a federal standard for unmasking anonymous bad actors to ensure individual accountability.

    Read at CATO

  180. 180.
    2026-02-26 | health | 2026-W09

    The commencement of class-action trials against social media platforms over 'addiction' claims marks a pivotal moment that will shape the legal and policy landscape for youth online safety. Critics of the litigation argue that 'social media addiction' lacks a formal medical classification and that existing parental controls and user features already provide sufficient mitigation for excessive use. Ultimately, a ruling for the plaintiffs could force significant changes to platform features like autoplay and algorithms, while a defense victory would likely strengthen First Amendment challenges against state-level age verification and content restriction laws.

    Read at CATO

  181. 181.
    2026-02-26 | society | 2026-W09 | Topics: United States

    The article critiques the proliferation of special-purpose, tax-advantaged savings accounts, arguing that they create a complex maze of rules that discourages saving among those who need liquidity most. It highlights that new initiatives like Trump Accounts and the HUSTLE Act shift savings tools toward government transfer programs requiring restrictive guardrails and penalties. To improve financial resilience and reduce bureaucratic friction, the author recommends replacing this fragmented system with a single Universal Savings Account (USA). This proposed model would allow for flexible, tax-free withdrawals for any purpose without the paternalistic micromanagement inherent in the current niche account structure.

    Read at CATO

  182. 182.
    2026-02-26 | economy | 2026-W09 | Topics: Trade, United States

    The Trump administration's invocation of Section 122 of the Trade Act of 1974 to impose 10 percent tariffs is legally suspect because it incorrectly substitutes 'trade deficits' for the statute's requirement of 'balance-of-payments' problems. Economists and the administration's own prior legal filings confirm these concepts are distinct, especially since the U.S. floating exchange rate system currently allows for easy financing of trade imbalances without a payments crisis. Ultimately, the administration is likely using this authority as a 150-day temporary bridge to sustain protectionist policies while bypassing Congressional approval and preparing alternative legal justifications.

    Read at CATO

  183. 183.
    2026-02-26 | health | 2026-W09 | Topics: Trade, United States

    President Trump faces growing political disapproval as American households remain frustrated by high price levels for essentials like food and electricity despite modest real wage gains. The article argues that the administration's own policies, including tariffs, immigration restrictions, and high budget deficits, are contributing to stagflationary pressures and undermining fiscal stability. Consequently, the failure to deliver immediate price reductions has allowed political opponents to gain traction with 'affordability' narratives and proposals for direct economic intervention.

    Read at CATO

  184. 184.
    2026-02-26 | society | 2026-W09 | Topics: Trade, United States

    The Cato Institute argues for the immediate termination of the SEC’s Consolidated Audit Trail (CAT), characterizing it as an unconstitutional surveillance system that threatens investor privacy and security. The report cites significant vulnerabilities in the massive database, which processes 58 billion records daily, alongside the SEC’s inability to prevent unauthorized data disclosures. Furthermore, it asserts that the program bypasses Fourth Amendment protections by collecting sensitive financial data without judicial warrants. Consequently, the author calls on Congress or the SEC to dismantle the CAT to prevent further incursions into financial privacy and mitigate systemic cyber risks.

    Read at CATO

  185. 185.
    2026-02-26 | society | 2026-W09 | Topics: United States

    The United States faces an imminent risk of 'fiscal dominance,' where unsustainable federal debt levels may eventually force the Federal Reserve to abandon its inflation-control mandate to finance government spending. Projections indicate that by 2036, mandatory spending on entitlements and interest payments will consume 100% of federal revenue, with the impending depletion of Social Security and Medicare trust funds by 2032 serving as a critical market inflection point. To avert a sovereign debt crisis and persistent inflation, Congress must implement structural entitlement reforms, establish a credible deficit target of 3% of GDP, and utilize a bipartisan fiscal commission to overcome political inertia.

    Read at CATO

  186. 186.
    2026-02-26 | society | 2026-W09 | Topics: United States

    The article argues that the U.S. legal system increasingly favors the state through broad sovereign and qualified immunity doctrines that shield government agencies and officials from accountability. By examining the cases of USPS v. Konan and NRA v. Vullo, the author illustrates how expanding legal exceptions and 'clearly established law' requirements protect even intentional discrimination and regulatory coercion. These developments create a 'double lock' on justice, effectively transforming constitutional guarantees into unenforceable suggestions and leaving citizens without redress for proven misconduct.

    Read at CATO

  187. 187.
    2026-02-26 | society | 2026-W09 | Topics: Trade, United States

    President Trump's proposed 'war on fraud' is insufficient to balance the federal budget because the primary drivers of the deficit are structural entitlement spending and interest costs, not just improper payments. While fraud accounts for up to $521 billion annually, the projected decade-long deficit of $24 trillion far exceeds even the most optimistic savings from fraud elimination. Consequently, the article argues that authentic fiscal stability requires fundamental reforms to Social Security, Medicare, and Medicaid rather than superficial anti-fraud campaigns or economically unfeasible tariff strategies.

    Read at CATO

  188. 188.
    2026-02-26 | society | 2026-W09 | Topics: United States

    This CATO Institute report argues that federal-state financing structures for welfare programs create misaligned incentives that encourage widespread fraud and fiscal exploitation. Because states administer programs like SNAP and Medicaid while federal taxpayers bear the majority of costs, states lack the financial motivation to prevent improper payments or close administrative loopholes. The author recommends transitioning to block grants or per-capita spending caps to force states to take greater responsibility for program integrity. Ultimately, the report contends that ending federal aid to state programs is necessary to ensure policymakers remain accountable to taxpayers for every dollar spent.

    Read at CATO

  189. 189.
    2026-02-25 | economy | 2026-W09 | Topics: United States

    CATO argues that the Federal Reserve's Interest on Reserves (IOR) framework is a flawed and 'dangerous' tool that distorts private lending and reduces Treasury remittances. The article refutes Fed claims that IOR is cost-neutral and necessary for interest rate control, highlighting significant recent operating losses and the destruction of the interbank lending market. To address these issues, the author recommends a gradual 10-to-15-year reduction of the Fed's balance sheet to restore a traditional corridor system. The findings suggest that Congress should implement serious monetary reforms rather than treating the Fed as an infallible institution.

    Read at CATO

  190. 190.
    2026-02-25 | society | 2026-W09 | Topics: United States

    The CATO article examines how the One Big Beautiful Bill Act (OBBBA) has effectively insulated Immigration and Customs Enforcement (ICE) from government shutdowns by shifting its funding from annual discretionary appropriations to multi-year mandatory spending. By providing $75 billion in budget authority—seven times ICE’s typical annual budget—legislators utilized the reconciliation process to bypass traditional fiscal checks and balances. This shift significantly erodes Congressional oversight, as agencies no longer need annual legislative approval to operate, while weakening the minority party's ability to extract policy concessions. Ultimately, this precedent encourages fiscal irresponsibility and institutional norm erosion, as future administrations may similarly exploit reconciliation to bypass budgetary trade-offs.

    Read at CATO

  191. 191.
    2026-02-24 | society | 2026-W09 | Topics: Trade, United States

    The article argues that Congress frequently exploits the 'emergency designation' loophole to bypass fiscal rules, leading to over $12.5 trillion in un-offset spending since 1991. It highlights that while countries like Switzerland and Germany successfully use 'debt brakes' to repay emergency borrowing, the US has seen its debt-to-GDP ratio surge due to a lack of similar enforcement mechanisms. To achieve fiscal sustainability, the author recommends adopting binding constraints that track and offset emergency spending through automatic, across-the-board reductions over a multi-year period.

    Read at CATO

  192. 192.
    2026-02-24 | health | 2026-W09

    The article argues that liberalizing immigration is a critical strategy for making long-term care more affordable and improving health outcomes for the elderly. Research indicates that a higher influx of immigrants significantly expands the healthcare workforce, particularly in home-based care, without displacing domestic workers. This labor shift reduces reliance on nursing homes and is associated with a substantial decrease in nationwide mortality rates among older adults. Consequently, the findings suggest that immigration reform serves as a powerful lever for addressing the public health challenges of an aging population.

    Read at CATO

  193. 193.
    2026-02-24 | economy | 2026-W09 | Topics: Trade, United States

    The Supreme Court’s 6–3 ruling in Learning Resources, Inc. v. Trump significantly curtails executive power by holding that the International Emergency Economic Powers Act (IEEPA) does not authorize presidential tariffs. Cato analysts emphasize that while the decision addresses a major constitutional overreach and provides fiscal relief for households, the administration is already pivoting to alternative statutes to maintain its trade agenda. This shift underscores a critical need for Congress to reclaim its constitutional authority over trade policy to ensure long-term economic stability and prevent arbitrary executive taxation.

    Read at CATO

  194. 194.
    2026-02-24 | society | 2026-W09 | Topics: United States

    The article proposes establishing an independent, fast-track fiscal commission to address the U.S. debt crisis and unsustainable growth in automatic entitlement spending. Drawing on the successful Base Realignment and Closure (BRAC) model, the author argues for a 'silent approval' mechanism where commission recommendations automatically become law unless rejected by Congress, overcoming chronic political paralysis. This reform aims to stabilize federal debt at or below 100 percent of GDP and restore the solvency of Social Security and Medicare through gradual, predictable changes rather than crisis-driven panic.

    Read at CATO

  195. 195.
    2026-02-24 | society | 2026-W09

    The article argues that school choice is an essential policy for progressives as well as conservatives, particularly following a court ruling allowing religious displays in public classrooms. It highlights a Fifth Circuit decision overturning an injunction against a Louisiana law requiring the Ten Commandments to be posted, illustrating the ongoing legal shift toward allowing more religion in schools. The author concludes that since public schools cannot satisfy all diverse beliefs, educational funding should follow the student to ensure all families can access education aligned with their values.

    Read at CATO

  196. 196.
    2026-02-22 | defense | 2026-W08 | Topics: China, Indo-Pacific, Trade, United States

    The CATO Institute critiques the Trump administration's Maritime Action Plan (MAP), arguing that its attempt to revive commercial shipbuilding through subsidies and protectionist mandates is economically unrealistic and potentially detrimental to national security. Key obstacles include US shipbuilding costs being five times the global average, severe labor shortages, and antiquated infrastructure that cannot be easily fixed by government intervention. The report warns that siphoning skilled workers into subsidized commercial projects may worsen existing delays in naval shipbuilding rather than providing spillover benefits. Instead of isolationist industrial policy, the author recommends leveraging allied shipyards for non-combatant vessels, providing steady demand signals, and reforming the Jones Act to modernize the US merchant fleet.

    Read at CATO

  197. 197.
    2026-02-22 | society | 2026-W08 | Topics: China, Trade, United States

    While the Supreme Court correctly limited the misuse of the International Emergency Economic Powers Act (IEEPA) for broad tariffs, the President still holds significant statutory power to disrupt trade. Hidden provisions like Section 122 and Section 338 offer alternative pathways for the administration to impose unilateral tariffs without immediate congressional oversight or established judicial limits. These vulnerabilities suggest that true trade policy stability will only return if Congress reclaims its constitutional authority and establishes stricter procedural safeguards on executive delegations.

    Read at CATO

  198. 198.
    2026-02-22 | health | 2026-W08

    Severe public defender shortages in states like Oregon highlight the urgent need to rethink drug criminalization to alleviate overburdened legal systems. The article points to the dismissal of 1,400 criminal cases as evidence that overcriminalization drains judicial resources and can inadvertently undermine public safety. It argues that successful models, such as Portugal’s, demonstrate that decriminalization is most effective when paired with robust treatment infrastructure and coordinated social services. Consequently, policymakers should prioritize scarce resources for crimes that cause direct harm while integrating health-based solutions for drug use.

    Read at CATO

  199. 199.
    2026-02-22 | society | 2026-W08 | Topics: Trade, United States

    This report argues that politically motivated terrorism remains a minuscule and overstated threat to Americans, accounting for only 0.35% of all murders between 1975 and 2025. Drawing on 51 years of data, the analysis shows that 88% of terrorist fatalities resulted from just two extreme events—9/11 and the Oklahoma City bombing—while the overall frequency of attacks has not significantly increased over time. Consequently, the author concludes that expanding federal domestic counterterrorism efforts or targeting specific political groups is a disproportionate response that threatens civil liberties without a sound empirical basis.

    Read at CATO

  200. 200.
    2026-02-22 | society | 2026-W08 | Topics: Trade, United States

    CATO criticizes the 2025 tax deductions for tip and overtime income, arguing that these narrow carve-outs undermine tax neutrality and create significant economic distortions. The analysis highlights that these provisions, projected to cost $121 billion over a decade, incentivize the recharacterization of wages and accelerate 'tipflation' by expanding tipping norms into non-traditional industries like home services. To maximize economic growth and fairness, the authors recommend that Congress allow these deductions to expire in 2028 in favor of a broad-based, low-rate tax system that treats all labor income equally.

    Read at CATO

  201. 201.
    2026-02-22 | society | 2026-W08 | Topics: Nuclear, United States

    From 1994 to 2023, U.S. immigrants—including both legal and undocumented populations—generated a cumulative fiscal surplus of $14.5 trillion, significantly reducing national budget deficits and lowering the debt-to-GDP ratio. This positive impact stems from immigrants' higher labor force participation rates and higher per capita tax contributions combined with lower consumption of government benefits like Social Security and education compared to the U.S.-born population. The study concludes that immigration has functioned as a critical buffer against a national debt crisis, suggesting that restrictive immigration policies would likely exacerbate fiscal instability rather than resolve it.

    Read at CATO

  202. 202.
    2026-02-22 | society | 2026-W08 | Topics: Trade, United States

    The Supreme Court's decision to strike down reciprocal tariffs under the IEEPA highlights that these measures failed to meet administration revenue projections while significantly depressing economic growth and other tax revenues. Evidence shows that 2025 tariff collections fell nearly 50% short of projected targets and functioned as a substantial tax increase that largely offset the benefits of the 2025 tax reforms for most American households. The ruling underscores that tariffs are an insufficient solution for the U.S.'s structural deficit, which is primarily driven by entitlement spending rather than revenue shortfalls. Consequently, the removal of these tariffs is expected to improve the net impact of recent tax cuts, although the administration may still pursue alternative legal routes to impose similar trade barriers.

    Read at CATO

  203. 203.
    2026-02-22 | society | 2026-W08

    This article highlights Hilton Horizons Academy as a successful example of the microschool movement, offering a student-centered alternative to the rigid testing and bureaucracy of traditional public schools. By utilizing personalized curricula and hands-on enrichment—such as robotics and gardening—the academy effectively addresses individual student needs that the standard system often overlooks. The school’s growth and the high satisfaction of its staff underscore the importance of school choice initiatives, such as Tennessee’s education savings account program, which make these models accessible to a broader range of families. These findings suggest that diversifying educational options can improve both teacher retention and student achievement by fostering more adaptive learning environments.

    Read at CATO

  204. 204.
    2026-02-22 | diplomacy | 2026-W08 | Topics: Middle East, Nuclear, United States

    The article argues that the Trump administration is sprinting toward a military conflict with Iran without a clear casus belli or exit strategy, risking a repeat of past Middle East intervention failures. It highlights how justifications have shifted from nuclear concerns to ballistic missiles and internal protests, often driven by Israeli pressure and policy inertia rather than imminent threats to the United States. The author contends that since Iran's ability to harm American interests is minimal, pursuing an unprovoked war would serve foreign interests over domestic ones and likely lead to an open-ended regional crisis.

    Read at CATO

  205. 205.
    2026-02-22 | diplomacy | 2026-W08 | Topics: Middle East, Nuclear, United States

    The article argues that the Trump administration’s reliance on "limited" military force against Iran is a strategic illusion that risks initiating an open-ended "forever war." It highlights that while airpower and covert actions minimize immediate American casualties, they frequently result in severe second-order effects like regional instability, refugee crises, and radicalization, as seen in past interventions in Libya and Syria. Ultimately, the author suggests that the administration should prioritize a diplomatic agreement with Tehran to avoid the very type of protracted conflict the president pledged to avoid.

    Read at CATO