I often say that the news stories most folks skip over are the most important ones. Maybe they seem boring on the surface. Maybe they don’t have enough flair, ire, or drama. But in the end, you’re affected. Well, buckle in for this one because President Biden just signed the CHIPS and Science Act!
And then you have someone like Alan Sykes, professor of law at Stanford and “economist by training,” who argues that CHIPS could cause the sector to go stale.
“You end up with inefficient, higher-cost production than you would if you would have let the market work on its own,” he said, adding that the government should keep its hands off such innovation and says that the U.S. already has a steady supply of semiconductors from Taiwan.
Sykes says that the CHIPS Act plays into protectionist rhetoric that rose during the Trump administration. Check out the full story on Soundside.