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The Avian Flu Disease: A Case of Precautionary Failure

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  • Marcello Basili
  • Mauriziop Franzini

Abstract

The Precautionary Principle has been proposed as the proper behaviour to adopt in the face of the new catastrophic risks that have made their appearance in the last decades. We advance a workable definition of the Precautionary Principle and apply it to the possible outbreak among humans of the avian flu disease. We make use of a Principle-Agent model and show in which sense such outbreak can be considered a “Precautionary failure”.

Suggested Citation

  • Marcello Basili & Mauriziop Franzini, 2005. "The Avian Flu Disease: A Case of Precautionary Failure," Department of Economics University of Siena 454, Department of Economics, University of Siena.
    • Handle: RePEc:usi:wpaper:454
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    File URL: http://repec.deps.unisi.it/quaderni/454.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    ambiguity; avian flu; precautionary principle; multiple priors;
    All these keywords.

    JEL classification:

    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law

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