the questions that the economist would consider relevant in determining the value of a life and the reactions of the environmentalists on them.

Question

Environmentalists and economists often find themselves at odds with each other. The conflict between the romantics and the rationalists surfaced again in the debate over air-quality standards set under the Clean Air Act of 1990. Under the law, the Environmental Protection Agency (EPA) must establish standards that promote public health. The EPA’s cost-benefit analysis assigns a value for each life saved of $4.8 million. Is $4.8 million a reasonable value to place on a life? What questions would economists consider relevant in determining the value of a life? How would environmentalists react to the questions economists ask?

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Chapter 6, Problem 8QAP

To determine

To determine the questions that the economist would consider relevant in determining the value of a life and the reactions of the environmentalists on them.

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