Inspection Technology, Detection and Compliance: Evidence from Florida Restaurant Inspections
AbstractMany regulations mandate government employees to inspect economic entities on a regular basis. In this paper, we show that a small innovation in inspection technology can make substantial differences in inspection outcomes. For restaurant hygiene inspections, the state of Florida has introduced a handheld electronic device, the portable digital assistant (PDA), which reminds inspectors of about 1,000 potential violations that may be checked for. Using administrative data on inspections conducted from July 2003 to June 2009, we find that the adoption of PDAs led to 11% more detected violations. Subsequently, restaurants increased their compliance efforts, but the response was gradual. Nevertheless, the heightened compliance induced by PDA use has contributed to reducing the risk of restaurant-related foodborne disease outbreaks.
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Bibliographic InfoPaper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 18939.
Date of creation: Apr 2013
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Find related papers by JEL classification:
- D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
- D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
- H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
- I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
- K32 - Law and Economics - - Other Substantive Areas of Law - - - Environmental, Health, and Safety Law
- L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-04-13 (All new papers)
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