Estimating Environmental Compliance Costs for Industry
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This paper discusses the estimation of the costs incurred by the private sector in complying with federal environmental regulation. The purpose of the paper is to discuss the pros and cons of existing approaches to compliance cost estimation such as ex post survey estimation and ex ante estimation techniques (input cost accounting methods, engineering process models and, econometric models). The paper outlines new and more comprehensive methodologies (such as combining these techniques) and discusses potential problems associated with using these approaches in practice.