The CPSC's ATV Risk Model

Edward J Heiden and Thomas M Lenard

Journal of Regulatory Economics, 1995, vol. 7, issue 2, 145-60

Abstract: Evaluations of the Consumer Product Safety Commission's impact on safety have been generally unfavorable. The CPSC's questionable effectiveness may be because many of its actions have been based on erroneous assessments of the factors associated with accident risk. This paper analyzes the statistical underpinnings of the CPSC's regulatory approach to all-terrain vehicles (ATVs), one of the most prominent issues faced by the agency. By investigating a wider range of risk models, we find the principal provisions of the CPSC's ATV policy, most notably stopping the sale of new three-wheel ATVs, are not supported by the risk data. Copyright 1995 by Kluwer Academic Publishers

Date: 1995
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