Risk as a Regulatory Idea

Author(s):  
Maria Weimer

This chapter discusses the ideational foundations of risk and its implications for regulation. It begins with an overview of the risk discourse, focusing in particular on the ‘bright’ and ‘dark’ sides of risk. On its ‘bright’ side, risk is viewed as an achievement of modernity; on its ‘dark’ side, it is described as a new technological and potentially uncontrollable hazard. The chapter then considers the roles played by risk in regulation and explains the distinction between regulation and risk regulation, along with the challenges posed by risk to public regulation. It also examines the contestability of risk and how risk differs from uncertainty, as well as the role of science and risk management principles in stabilizing risk regulation, taking into account the use of the precautionary principle and cost-benefit analysis. Finally, it analyses the rational–instrumental model of evidence-based regulation that distinguishes epistemic authority from governance authority in risk regulation.

2007 ◽  
pp. 70-84 ◽  
Author(s):  
E. Demidova

This article analyzes definitions and the role of hostile takeovers at the Russian and European markets for corporate control. It develops the methodology of assessing the efficiency of anti-takeover defenses adapted to the conditions of the Russian market. The paper uses the cost-benefit analysis, where the costs and benefits of the pre-bid and post-bid defenses are compared.


2003 ◽  
Vol 4 (1) ◽  
pp. 10-19
Author(s):  
Duncanson V

T his article describes a small study aimed at making a purchasing recommendation to the purchasing manager, providing a cost-benefit analysis of the most commonly used brands of non-sterile latex examination gloves. One of the nine makes of glove tested remained consistent with the agreed criteria for assessment and, if introduced as the only option available, would result in a saving of $15,150 per annum on Site A of a recently merged secondary care Trust. Also, the importance of the consultancy role of the clinical nurse specialist in improving practice was demonstrated.


2013 ◽  
Vol 4 (1) ◽  
pp. 59-71
Author(s):  
Felice Simonelli

This study focuses on the role of the discount rate in cost–benefit analysis (CBA) of regulation, providing a systematic investigation into regulatory practice vis–à–vis the existing economic theories. In the first part, a quick survey of the main economic literature on the social discount rate (SDR) is presented. In the second part, the current institutional practice is investigated, firstly comparing the recommendations on discounting issued by institutional actors in the US (Office of Management Budget, Environmental Protection Agency) and the EU (Commission), and secondly examining the SDRs adopted in two samples of CBAs selected among Regulatory Impact Analyses of US EPA and Impact Assessments of EU Directorate–General for the Environment. A gap exists between economic theory and institutional practice in the selection of the SDR. Regulatory decisions which are based on CBA reflect the most workable economic literature on discounting rather than the most theoretically consistent one, thus yielding less reliable and less robust results. Scholars who aim at improving the quality of rule–making and at fostering the application of CBA in regulatory decisions should improve the “operational validity” of their research, thus providing practitioners with methods that are both consistent and workable.


2019 ◽  
Vol 15 (5) ◽  
pp. 861-879
Author(s):  
Francesco Bogliacino ◽  
Cristiano Codagnone ◽  
Giuseppe Alessandro Veltri

AbstractIn this paper, we develop a framework to analyze the relationship between evidence and policy. Postulating a normative criterion based on cost–benefit analysis and the value of a piece of information, as well as a topology of the policy space defined by three characteristics (epistemic uncertainty, interests, and the degree of value conflicts), we identify the (Nash) equilibria of an interaction between experts and citizens in providing information to a decision maker. In this setup, we study three institutional arrangements (evidence-based policy, deliberative governance, and negotiated conflict) that differ in terms of reliance on experts and citizens for providing information. We show that different degrees of uncertainty, interests, and value-relevance surrounding the issue at stake result in vastly different arrangement performances; hence, to foster efficiency, rules should be contingent.


Author(s):  
Gilles Saint-Paul

This chapter describes the social sciences. Unlike the natural sciences, the social sciences are inevitably statistical. When documenting human behavior, for example, they can at most claim that a trait is present in a certain fraction of the population. However, the social engineer of the paternalistic state must take into account that the “science of happiness” that is being implemented does not apply uniformly to all individuals. A policy that benefits some by preventing mistakes or removing their biases harms those who are immune to these issues. This difficulty, however, entirely disappears as long as the state is utilitarian or, more generally, pursues any objective that aggregates welfare between individuals, for the statistics are the only thing the utilitarian needs to know. Once the population distribution of the relevant effects and mechanisms is known, the social planner can safely use it to balance gains and losses across incarnations and perform the cost-benefit analysis of its policies.


2020 ◽  
Vol 28 (6) ◽  
pp. 2013-2024
Author(s):  
Miia Rahja ◽  
Kim‐Huong Nguyen ◽  
Kate Laver ◽  
Lindy Clemson ◽  
Maria Crotty ◽  
...  

2019 ◽  
Vol 12 (2) ◽  
pp. 323-349
Author(s):  
Michael Ilg

Abstract This paper proposes that there are three essential elements or phases of development: (i) systemic capacity; (ii) individual capability, and (iii) social citizenship. Significantly, the role of government within each element of development is decidedly different. Systemic capacity refers to the development of the economic means, or wealth creation, needed to provide society with services and public goods. Capability building refers to providing individuals with the basic conditions required to live a long and fulfilling life, such as health and education. Social citizenship recognizes that values held by individuals and groups will often conflict, and there is rarely a singular social end that can determine life in a free society. Fostering citizenship reflects the importance of belonging, and the obligations, responsibilities, and restraint that individuals owe to others, society, and the environment. This third element is a notable departure from many traditional approaches to development, which tend to concentrate on development as largely a process of feeding individual needs. The proposed approach is labelled “freedom from development,” for it is premised on the recognition that while society often benefits from the pursuit of traditional development, it does not do so exclusively nor without qualification. So while there are many instances in which development is a desirable social end, as when people derive greater capabilities from economic growth, there are also situations when the end of development must be displaced in favour of other social priorities. For example, there are times when markets yield freedom, and times when the freedom people crave will be found in rejecting the market altogether. Freedom from development suggests that values represented under the third element of citizenship will often have come at the expense of those of the first two elements, meaning that development in a traditional manner is superseded in a given context. In order to determine when freedom from development is socially desirable, it is suggested that a form of cost-benefit analysis is implicitly conducted, comparing the economic and individual gains available under the first two elements with the potential social gains from belonging under the third element of citizenship.


Sign in / Sign up

Export Citation Format

Share Document