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By Yu Min & Li Zuojun, Research Team on “Cost-Benefit Analysis Mechanisms of Environmental Policies: International Experience and Enlightenment”, Research Institute of Resources and Environment Policies, DRC

Research Report, No. 125, 2020 (Total 5869) 2020-5-26

Abstract: The United States has launched extensive supervision and regulation reforms since 1981, in which a key part is to gradually establish a government regulatory mechanism focusing on cost-benefit analysis to improve the governance capacity of the federal government. The proportion of U.S. policies adopting cost-benefit analyses has increased over the past three decades, with environmental policies accounting for about one-third of the total. During the period, the U.S. government has clarified the major responsibilities and objects of the cost-benefit analyses, regulated the contents for analyses, established working mechanisms for centralized reviewing and improved the legal, technological and information security systems. China can refer to the U.S. practices for its own system construction focusing on cost-benefit analyses to make decisions in a scientific manner, clarifying phased goals, accelerating trials of cost-benefit analyses in environmental policies, and developing a unified and standardized evaluation framework. Efforts are also needed in improving technology, information and personnel support and advancing the formulation of laws and regulations.

Keywords: environment policies, evaluation mechanisms, international experience, policy options