Limitations of Federal Gun Regulation

With 300 million firearms in private hands, preventing “dangerous individuals” from acquiring guns is a formidable regulatory challenge. The federal government’s scheme is incomplete and falls far short, but whether it can be fixed is an open question. Federal firearms licensed (FFL) dealers are the key actors in the federal regulatory regime. The Gun Control Act of 1968 requires persons in the business of selling firearms to obtain a license from the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). Under that law, a person who repetitively buys and sells firearms with the principal motive of making a profit is “in the business.” It is very easy for dealers to obtain an FFL license: The application requires they send in fingerprints, pay $200 per year, and affirm that they are not covered by any statutory firearms disqualification. Today, there are electronic background checks for criminal convictions and several other disqualifications,…

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