Why Indirect Health Risks of Regulations Should be Examined

Health and safety regulations are usually evaluated in terms of their expected health benefits. However, regulations can have unintended side effects, and in some instances, possibly produce adverse health effects that are more severe than those intended to be prevented. Such indirect health effects can occur through several pathways, including accidents during the construction and operation of regulatory equipment, stress from unemployment or occupation risks of additional employment, and reduced household income. Ideas for developing a methodology to estimate such unintended health effects are illustrated using regulation of power plants. Sources of relevant literature and examples of estimates of indirect health effects are included.

Duke Scholars

Author Ralph L. Keeney Fuqua School of Business