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Efficient Regulation of Environmental Health Risks

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Author Info
Lichtenberg, Erik
Zilberman, David

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Abstract

This paper introduces a decision framework for regulating environmental health risks which incorporates the characteristic uncertainty about the dissemination and toxicological impacts of environmental contaminants and the behavioral restrictions commonly encountered. Analysis indicates that increases in uncontrollable uncertainty will increase emphasis on average performance, that more potent or less controllable risks will be regulated more stringently and that increasing aversion to uncertainty may result in poorer average performance. The paper also developes an alternative measure for valuing risk of loss of life taking into account uncertainty about health risk generation processes. Copyright 1988, the President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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Publisher Info
Article provided by MIT Press in its journal Quarterly Journal of Economics.

Volume (Year): 103 (1988)
Issue (Month): 1 (February)
Pages: 167-78
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Handle: RePEc:tpr:qjecon:v:103:y:1988:i:1:p:167-78

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  2. Lichtenberg, Erik & Penn, Tony M., 2001. "Prevention Versus Treatment Under Precautionary Regulation: A Case Study Of Groundwater Contamination Under Uncertainty," Working Papers 28584, University of Maryland, Department of Agricultural and Resource Economics. [Downloadable!]
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  3. Horan, Richard D. & Shortle, James S. & Abler, David G. & Ribaudo, Marc, 2001. "The Design And Comparative Economic Performance Of Alternative Second-Best Point/Nonpoint Trading Markets," Staff Papers 11595, Michigan State University, Department of Agricultural, Food, and Resource Economics. [Downloadable!]
  4. Haim Shalit, 1995. "Mean-Gini analysis of stochastic externalities: The case of groundwater contamination," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 6(1), pages 37-52, July. [Downloadable!] (restricted)
  5. Kaplan, Jonathan, 2001. "Prevention Versus Utilization Of Excess Nutrients From Animal Feeding Operations:The Case Of Managing Nutrient Uncertainty," 2001 Annual meeting, August 5-8, Chicago, IL 20533, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
  6. Zilberman, David & Hochman, Gal & Sexton, Steven E., 2008. "Food Safety, the Environment, and Trade," Agricultural Distortions Working Paper 48637, World Bank. [Downloadable!]
  7. James BARRETT & Kathleen SEGERSON, . "Prevention And Treatment In Food Safety: An Analysis Of Conceptual Issues," Department of Resource Economics Regional Research Project 9521, University of Massachusetts. [Downloadable!]
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  8. Graff, Gregory & Roland-Holst, David & Zilberman, David, 2005. "Biotechnology and Poverty Reduction in Developing Countries," Working Papers RP2005/27, World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
  9. Katrin Millock & David Zilberman, 2006. "Collective penalties and inducement of self-reporting," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00118778_v1, HAL. [Downloadable!]
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  10. Peterson, Jeffrey M. & Boisvert, Richard N., 2001. "Designing Nonpoint Source Pollution Policies With Limited Information About Both Risk Attitudes And Production Technology," 2001 Annual meeting, August 5-8, Chicago, IL 20720, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
  11. Y.H. Farzin & J.D. Kaplan, . "Nonpoint Source Pollution Control Under Incomplete and Costly Information," Working Papers 1999.32, Fondazione Eni Enrico Mattei. [Downloadable!]
  12. Cho, Bo-Hyun & Hooker, Neal H., 2006. "Selection of Food Safety Standards," 2006 Annual meeting, July 23-26, Long Beach, CA 21077, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
  13. Gray, Emily & Ahmadi-Esfahani, Fredoun, 2008. "Uncertainty aversion in Australian regulation of agricultural gene technology," 2008 Conference (52nd), February 5-8, 2008, Canberra, Australia 6045, Australian Agricultural and Resource Economics Society. [Downloadable!]
  14. Lupi, Frank & Horan, Richard D., 2005. "Economic Incentives for Controlling Trade-Related Biological Invasions in the Great Lakes," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 34(1), April. [Downloadable!]
  15. Joshua Graff Zivin, 2001. "Cost-effectiveness analysis with risk aversion," Health Economics, John Wiley & Sons, Ltd., vol. 10(6), pages 499-508. [Downloadable!]
  16. Athanasios Kampas & Ben White, 2004. "Administrative Costs and Instrument Choice for Stochastic Non-point Source Pollutants," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 27(2), pages 109-133, February. [Downloadable!] (restricted)
  17. Boisvert, Richard N. & Peterson, Jeffrey M., 2001. "Control Of Nonpoint Source Pollution Through Voluntary Incentive-Based Policies: An Application To Nitrate Contamination In New York," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 30(2), October. [Downloadable!]
  18. Horan, Richard & Lupi, Frank, 2003. "Tradable Risk Permits To Prevent Future Introductions Of Alien Invasive Species Into The Great Lakes," 2003 Annual meeting, July 27-30, Montreal, Canada 22111, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
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