New foundations of cost–benefit analysis

This article responds to the criticisms of New Foundations of Cost–Benefit Analysis that appeared in a review by Amy Sinden, Douglas A. Kysar, and David M. Driesen. We argue that their criticisms are either based on misunderstandings of our approach or are too demanding, in the sense that no reasonable decision procedure would satisfy them. We illustrate this second argument by demonstrating that their preferred approach – feasibility analysis – has little to recommend it.     

Law and Economics in Common-Law, Civil-Law, and Developing Nations

Abstract. The law and economics movement is the principal interdisciplinary field of legal studies. This paper traces the history of the movement and explains its basic principles, contrasts the version of the movement that predominates in the United States with the version that prevails in Europe, noting the greater emphasis of the former on substantive doctrine and of the latter on rule of law considerations, and emphasizes the importance of the movement for legal and economic reform in developing nations.     

The application of venture analysis to public policy decisions: A case study of photovoltaics

Venture analysis is a group of analytical techniques normally used by the private sector to assist in major capital decisions. The approach can be applied to public policy decisions in those cases where changing private sector investment decisions are the central focus. A case study concerning a temporary subsidy to an emerging energy technology is reviewed. Major strengths of the approach are its use of numerous data- and opinion-gathering techniques and its explicit treatment of market and supply uncertainties. The major weakness is its lack of ability to handle those social costs and benefits for which no market exists. Implications for other policy studies are also presented.