The Economics of Regulatory Repeal and Six Case Studies

For five out of the six rules analyzed, the benefits forgone outweigh the cost savings under a reasonable set of assumptions. Prioritizing repeal using the preferred net benefits criterion yields very different rankings than prioritizing according to cost savings alone. Better accounting for sunk co...

Full description

Saved in:
Bibliographic Details
Published in:Policy File 2018
Main Authors: Krupnick, Alan, Fraas, Arthur G, Huetteman, Justine, Echarte, Isabel
Format: Report
Language:English
Subjects:
Economic policy
Government
Resources for the Future
Online Access:Request full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:For five out of the six rules analyzed, the benefits forgone outweigh the cost savings under a reasonable set of assumptions. Prioritizing repeal using the preferred net benefits criterion yields very different rankings than prioritizing according to cost savings alone. Better accounting for sunk cost and benefits as well as the degree of compliance is needed to improve repeal analyses. Uncertainties in the benefits analyses need to be handled better and with an eye to making a future repeal analysis more meaningful. Regulatory impact analyses should be seen as informative, not as a definitive decisionmaking tool.