Risk Analysis and Cost-Benefit Analysis of Environmental Regulations

Concerns about the national economy, environment, public health, and the quality of EPA's regulatory process have led Congress to consider proposals to require EPA analyses of risks, costs, and benefits of proposed regulations. Proponents of analysis want the results used to design more efficient regulations and to prioritize environmental problems for Federal attention. Risk analysis summarizes available scientific information about hazardous activities, chemicals, or technologies and the effects they may have on exposed animals or people under various conditions, for example, with or without regulation. Risk and economic analyses can be qualitative or, if information is sufficient, quantitative, but economists can only quantify economic benefits of enviromental regulations if scientists can quantitatively estimate risks to health and the environment