Probably because the regulations imposed on American people are far stricter than in the jurisdiction of actual residence. The article mentioned FATCA, which is a great example.

As a side note, whenever I opened an account with financial institutions, I have to deal with FATCA paperwork that asked me to confirm that I'm not US citizen every time. It barely makes sense as I was born a Thai citizen and never renounce it, yet I have to complete the FATCA declaration. I couldn't imagine what will happen if someone declared that they are subject to FATCA (at best, probably red tapes, or at worst, being kicked out of their service).