The costs of regulation

Came across an interesting article in today’s NY Times on whether product regulation is a cost to business. Some choice excerpts:

Unfortunately, they ignore a vital point: health and safety agencies rarely impose new costs on society when we issue safety regulations. We simply re-allocate who pays the costs.

Anyone who insists that regulations necessarily impose new costs on society shouldn’t be taken seriously. The costs are already there, in the form of deaths and injuries — and are often as much of a drag on our economy as any safety rule. So the real issue is who should bear the costs.

Not all regulation is bad, nor is it always more costly. And one of the ways to ensure that our safety rules are cost-effective is to use thoughtful cost-benefit analysis.

HT to Stefano Soro for finding the article.

Published by Antonia

I'm a British citizen and European Union offical, who lives in Brussels again after 6 years in London and 8 in Melbourne. I went to the London School of Economics and University of Melbourne. In 2008 I took part in the Eisenhower Fellowship Multination Programme, the subject of 3 of my blogs. You can find me on Twitter as @antoniam or on Mastodon as @antoniam@mastodon.scot

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