Commentary Archive

Stuart Shapiro

The Intersection of Politics and Analysis

March 29, 2016

3/29/16 - Benefit-cost analysis, like all forms of policy analysis operates in a political environment. The politics surrounding a particular issue can go a long way to determining whether analysis can play a role in shaping policy around that issue. As we construct requirements for analysis, advocates for analytical thinking should keep in mind the interaction between analysis and politics. This may mean advocating for the simpler presentation of complex analysis and taking advantage of the synergy between analysis and outside participation.

Sydney E. Allen

Senators: Put Politics Aside in Reforming America’s Regulatory System

March 22, 2016

By Sydney E. Allen
3/22/16 - Chairman and Ranking Member of the Senate Subcommittee on Regulatory Affairs and Federal Management Senator James Lankford and Senator Heidi Heitkamp, respectively, joined the more than 300 attendees of the 8th annual SBCA conference on March 17 to discuss their bipartisan legislation aimed at updating the current federal regulatory system. Their conversation, moderated by Susan Dudley, addressed the discourse they engage in as leaders of the subcommittee and stressed the importance of making the rulemaking process more evidence based and finding common ground in an ever-divisive political atmosphere.

Brian Mannix

Are Future Lives Worth More Than Our Own?

March 14, 2016

By Brian Mannix
3/14/16 - The EPA has asked its Environmental Economics Advisory Committee for advice on how the Agency should adjust the value of statistical lives (VSL) in the future. Incomes are expected to grow, and people with higher incomes tend to place a higher value on measures to reduce their own mortality risks. Does this mean that a benefit-cost analysis should place greater weight on lives saved in the future than it does on those saved today? In comments filed with the Committee and summarized here, Mannix argues that this is more than just a question of analytical technique.

Sofie E. Miller

Pitching Retrospective Review as a Cure for Regulatory Accumulation

March 08, 2016

By Sofie E. Miller
3/8/16 - In a recent Administrative Law Review article, Reeve Bull argues that retrospective review may be the best way to address regulatory buildup. However, the path to effective ex post review of regulations has many obstacles. One of the biggest hurdles is the simple fact that rules are difficult to review—and especially so because they are not written to facilitate measurement ex post. Institutionalizing a requirement for agencies to evaluate whether a regulation’s predicted effects actually materialize would provide a powerful incentive to improve regulatory outcomes.

Susan Dudley

Regulatory Reboot: Options for Revisiting Midnight Regulations

February 23, 2016

By Susan E. Dudley
2/23/16 - The Office of Information and Regulatory Affairs is bracing for the rush of regulatory activity that typically comes during the final year of a presidential administration. A government planning document lists 95 economically significant final regulations as priorities for President Obama’s final year in office. But according to a new report from the Congressional Research Service, any rule published after May 16 runs the risk of being summarily overturned in 2017.

Daniel Perez

The Role of FDA Regulation in the Fight Against the Zika Virus

February 17, 2016

By Daniel Pérez
2/17/16 - Given the escalating concern over the spread of the Zika virus—transmitted mainly by mosquitoes—it is interesting to note that the FDA has sat on a promising remedy for over 4 years. The agency has still not released for public comment its assessment of an application it received back in November of 2011 from the biotech company for a field trial to employ a genetically modified (GM) mosquito with the potential to dramatically reduce the population of these disease-carrying insects.

Brian Mannix

Space-Time Trading: Special Relativity and Financial Market Microstructure

February 10, 2016

By Brian Mannix
2/10/16 - Albert Einstein’s theory of special relativity offers important insights for understanding the physical constraints that shape the microstructure of today’s financial markets. We need to be wary of applying overly simplistic models of how an ideal market should operate, when market data and orders are traveling at speeds approaching the speed of light. Economic concepts like the Efficient Markets Hypothesis – in an efficient market prices will “instantaneously” incorporate all available information – must be tempered by an understanding of the nature of space and time.

Sofie E. Miller

Senate Shows Continuing Interest in Regulatory Reform

February 03, 2016

By Sofie E. Miller
2/3/16 - Regulation is one of the primary vehicles by which federal policy is made, and it affects every household, employee, and business in the U.S. Recognizing this fact, the Senate Homeland Security and Governmental Affairs Committee recently released a report featuring practical regulatory reforms submitted by the GW Regulatory Studies Center and others. This commentary includes our recommendations for improving regulatory analysis, retrospective review, congressional oversight, and judicial review. With the benefit of public input from stakeholders, the Committee is well-equipped to address ineffective regulations and inadequate oversight by reforming the rulemaking process.

Susan E. Dudley

Countdown To Midnight On The President's Regulatory Priorities

January 26, 2016

By Susan E. Dudley
1/26/15 - Regulatory activity tends to surge in the final year of a presidential administration. Significant legislation from Congress is unlikely, and regulations are one of the few tools available for outgoing executive branch officials wanting to leave a legacy. The last three months in particular have historically seen a flurry of “midnight regulation” before a new president is sworn in. In an effort to get ahead of that rush, OIRA Administrator Howard Shelanski recently sent a memo to executive agencies asking them to adhere to their regulatory agendas. As past experience shows, however, controlling midnight regulations can be an uphill battle.

Sofie E. Miller

Looking Ahead to Regulation in 2016

January 20, 2016

By Sofie E. Miller
1/20/16 - Although Congress will not likely enact new legislation in President Obama’s final year in office, regulatory agencies are a different matter. Federal agencies like DOE, EPA, FDA, and OSHA plan to issue several important final rules in 2016, including new energy efficiency standards, e-cigarette rules, and exposure levels for crystalline silica. This commentary examines some of the most noteworthy regulatory actions to expect from federal agencies in 2016.

Daniel R. Pérez

President Obama’s Regulatory Output: Looking Back at 2015 and Ahead to 2016

January 12, 2016

By Daniel R. Pérez
1/12/16 - In 2015, President Obama’s executive agencies issued 62 economically significant rules—those defined in Executive Order 12866 as likely to have “an annual effect on the economy of $100 million or more,” making last year the second most active regulatory year of his presidency. Many of these rules focused on his regulatory priorities. This commentary looks back at the number of regulations published in 2015 and ahead to 2016, evaluating the President’s activity in the context of regulatory output of previous administrations.

Brian Mannix

Are Chemical Risk Assessment and Benefit-Cost Analysis Compatible?

January 06, 2016

By Brian Mannix
1/6/16 - Executive Order 12866 requires benefit-cost analyses for all regulations; in many cases these economic analyses rely upon risk assessment for critical inputs. Usually this is not a problem; in principle, risk assessment and benefit-cost analysis are perfectly compatible. But benefit-cost analysis and chemical risk assessment have not had a happy history together. The problem can be traced to some specific practices that historically have characterized chemical risk assessments, and that are widely accepted within that community.

Daniel R. Pérez

Insights on South Korea’s Public-Private Partnership for Regulatory Reform

December 21, 2015

By Daniel R. Pérez
12/21/15 - Representatives from Korea’s Public-Private Joint Regulation Advancement Initiative (PPJRAI) recently concluded their visit to the United States, where they met with regulatory experts from both the public and private sectors in Washington, D.C. This public-private initiative constitutes an important part of Korea’s efforts to build on its successful history of regulatory reform and improve the market-oriented features of its regulatory system. The GW Regulatory Studies Center met with representatives from PPJRAI to discuss regulatory reform, including its mandate to improve conditions for small and medium enterprises (SME) operating in the Korean economy.

Randall Lutter

Herding Genetically Engineered Animals to Market

December 17, 2015

By Randall Lutter
12/17/15 - The US Food and Drug Administration’s (FDA’s) recent decision to approve a genetically engineered salmon for human consumption bodes well for people interested in cheaper fish that are rich in omega three fatty acids. This commentary explores what could either be a new era of innovative animal biotechnology or continuing stagnation.

Sofie E. Miller

Missed Opportunity for EPA to Cut Back Renewable Fuel Standard

December 16, 2015

12/16/15 - EPA’s newest renewable fuel standard rule mandates the production of over 18 billion gallons of renewable fuel in 2016. Unfortunately, this biofuel mandate is bad news for the environment and for American consumers: the past decade has provided evidence that mandated ethanol production could be creating more carbon dioxide emissions than gasoline and polluting waterbodies via nitrogen fertilizer runoff. The latest final RFS rule was a missed opportunity for EPA to slow the growth of biofuel mandates that increase pollution without accomplishing important environmental goals.