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Regulating environmental, health, and safety risks involves deciding whether to devote scarce resources to reducing these risks, or to instead allow individuals, firms, or government agencies to use these resources to provide other desirable goods and services. Economic analysis provides information on whether the benefits of alternative policies are likely to be commensurate with their costs, and also identifies which action, if any, is most likely to maximize the net benefits to society. In combination with other considerations – such as whether the impacts are distributed equitably, and the implications of nonquantifiable effects and other uncertainties – these findings help support sound decisions.
Lisa A. Robinson is an independent consultant with substantial experience in conducting these assessments, developing related methods, and drafting guidance documents. In recent years, much of her work has addressed valuing health risk reductions in benefit-cost and cost-effectiveness analyses and improving the approaches used to prepare these analyses.
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