Social Econ Blog

The OMB guidelines are divided into an introduction and three sections: (1) a statement of the need for the proposed action; (2) an examination of alternative approaches; and (3) analysis of benefits and costs. The introduction states that an Economic analysis (EA) should provide sufficient information for decisionmakers to determine:

there is adequate information demonstrating a need for and the consequences of the proposed regulatory action,

the potential benefits justify the potential costs, considering that not all benefits can be expressed in monetary terms,

the proposed action will maximize net benefits to society, unless a statute mandates another approach,

where a statute mandates a specific approach, the proposed action will be the most cost-effective, and

agency decisions are based on the best reasonably available scientific, technical economic and related information.

// posted by BW @ 12:26 PM