Advertisement

Techniques Available for Estimating the Impact of Regulations

  • Francis Chittenden
  • Stefano Iancich
  • Brian Sloan
Chapter
Part of the International Studies in Entrepreneurship book series (ISEN, volume 20)

Abstract

There are a considerable number of techniques and models for estimating the level of impact of regulations. Cost benefit analysis is considered particularly important for regulatory analysis. However, there is no definition of compliance costs that has gained wide acceptance. Disagreement exists about whether certain elements should be included in the calculation of compliance costs (e.g. “psychological costs” that are difficult to measure and quantify). This chapter offers a critical explanation of a variety of techniques that are in common use and then summarizes those that are adopted by governments around the world. A pre-requisite for any method is that relevant data should exist (or be collected) and that this data must be assembled in the most appropriate way. In the absence of these requirements, even the most suitable techniques will be subject to criticism.

Keywords

Small Business Small Firm Business Owner Administrative Cost Compliance Cost 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

References

  1. Ambler, T., Chittenden, F. and Hwang, C. (2005) Is EU Regulation Good for Us? A Study of EU Regulations in 2003/4, The British Chambers of Commerce, London, pp. 44.Google Scholar
  2. Ambler, T., Chittenden, F. and Obodovski, M. (2004) Are Regulators Raising Their Game? Regulatory Impact Assessments in 2002/3, the British Chambers of Commerce, London, pp. 18.Google Scholar
  3. Boog, J.J., Jansen, M. and Tom, M.J.F. (2002) Monitor Administratieve Lasten Bedrijven 2001, EIM, Zoetermeer, May.Google Scholar
  4. Chittenden, F., Poutziouris, P. and Michaelas, N. (1999a) The Impact of the 1999 Budget on the Small Business Economy, National Westminster Bank, London, March.Google Scholar
  5. Chittenden, F., Poutziouris, P. and Michaelas, N. (1999b) “Taxation and Small Firms: Creating Incentives for the Re-Investment of Profits”, Environment and Planning C: Government and Policy, 17(3).Google Scholar
  6. Chittenden, F., Poutziouris, P., Michaelas, N. and Watts, T. (1998) The March 1998 Budget and Small Business Taxation, National Westminster Bank, London.Google Scholar
  7. Chittenden, F., Poutziouris, P. and Watts, T. (1996) Taxing Expansion: A Model for Fairer Taxes on Small and Medium-Sized Enterprises, National Westminster Bank, London.Google Scholar
  8. Evans, C., Ritchie, K., Tran-Nam, B. and Walpole, M. (1997) A Report Into Taxpayer Costs of Compliance, Australian Taxation Office, Australia.Google Scholar
  9. Froud, J., Boden, R., Ogus, A. and Stubbs, P. (1998) Controlling the Regulator, MacMillan Press, London.Google Scholar
  10. Hahn, R.W. (1998) “Government Analysis of the Benefits and Costs of Regulation” Journal of Economic Perspectives 12(4): 201–210.Google Scholar
  11. Hahn, R.W. (1999) “Regulatory Reform: Assessing the Governments Numbers” Joint Center: AEI Brookings Joint Center for Regulatory Studies. U.S.Google Scholar
  12. Hahn, R.W. and Hird, J.A. (1991) “The Costs and Benefits of Regulation: Review and Synthesis”, Yale Journal on Regulation, Winter 8(1): 233–78.Google Scholar
  13. Hahn, R.W. and Litan, R.E. (1998) “An Analysis of the Second Government Draft Report on the Costs and Benefits of Federal Regulations”. Joint Center: AEI Brookings Joint Center for Regulatory Studies. U.S.Google Scholar
  14. Hazilla, M. and Kopp, R.J. (1990) “Social Cost of Environmental Quality Regulations: A General Equilibrium Analysis”, Journal of Political Economy, 98(4).Google Scholar
  15. Inland Revenue. (1998), The Tax Compliance Costs for Employers of PAYE and National Insurance in 1995–96, The Centre for Fiscal Studies, University of Bath.Google Scholar
  16. Kenneth, J. et al. (1996) “Benefit-Cost Analysis in Environmental Health and Safety Regulation” American Enterprise Institute, The Annapolis Center and Resources for the Future.Google Scholar
  17. Lutter, R. W. (2000) “An Analysis of the EPA’s Proposed Lead Hazard Standards for Homes”, Joint Center: AEI Brookings Joint Centre for Regulatory Studies. U.S.Google Scholar
  18. Morrison, A.S., Watson, T. and Winston, C. (1998) “Fundamental Flaws of Social Regulation: The Case of Airplane Noise”. Joint Center: AEI Brookings Joint Centre for Regulatory Studies. U.SGoogle Scholar
  19. Moyle, P. (1999) “Pesticides in Ground Water: Will the EPA’s New Regulation Decrease Health Risks?”. Joint Center: AEI Brookings Joint Centre for Regulatory Studies. U.S.Google Scholar
  20. Pearce, D. (1998) “Cost Benefit Analysis and Environmental Policy”, Oxford Review of Economic Policy, 14: pp. 84–106.Google Scholar
  21. Pope, J., Fayle, R. and Chen, D.L. (1991) The Compliance Costs of Public Companies’ Income Taxation in Australia 1986/87, Australia Tax Research Foundation, Sydney.Google Scholar
  22. Poutziouris, P., Chittenden, F. and Michaelas, N., (1999) “Modelling the Impact of Taxation on the Small Business Economy: The NatWest MBS Tax Index for the Self-Employed, Sole-Traders and Partnerships”, Environment and Planning C: Government and Policy, 17(5), October.Google Scholar
  23. Robinson, J.C. (1995)“The Impact of Environmental and Occupational Health Regulation on Productivity Growth in U.S. Manufacturing”, The Yale Journal of Regulation, 12: pp. 387–434.Google Scholar
  24. Rutledge, G.L. and Vogan, C. R. (1995) “Pollution Abatement and Control Expenditures, 1993”, Survey of Current Business, 12(5): pp. 36–46. MayGoogle Scholar
  25. Sandford, C. (1973) ‘Hidden costs of Taxation’, Institute of Fiscal Studies, Publication, London, No. 6, July.Google Scholar
  26. Sandford, C., Godwin, M. and Hardwick, P. (1989) Administrative and Compliance Costs of Taxation, Fiscal Publications, London.Google Scholar
  27. Sandford, C., Godwin, M., Hardwick, P. and Butterworth, I. (1981) Costs and Benefits of VAT, Heinemann Educational Books, Oxford.Google Scholar
  28. Sandford, C. and Hasseldine, J. (1992) The Compliance Costs of Business Taxes in New Zealand, Institute of Policy studies, Victoria University of Wellington, Wellington.Google Scholar
  29. Small Business Research Trust. (1996) NatWest Quarterly Survey of Small Businesses in Britain, Vol. 12, No. 1, SBRT, Milton Keynes.Google Scholar
  30. Small Business Research Trust. (1998) NatWest SBRT Quarterly Survey of Small Businesses in Britain, Vol. 14, No. 1, SBRT, Milton Keynes.Google Scholar
  31. Small Business Research Trust. (2000) Natwest Quarterly Survey of Small Business in Britain, Vol. 16, No. 3, SBRT, Milton Keynes.Google Scholar
  32. UNICE. (1995) The Union of Industrial and Employer's Confederations of Europe Regulatory Report: Releasing Europe's Potential Targeted Regulatory Reform.Google Scholar
  33. Wit, G. de and Nijsen, A.F.M. (2002) Administratie tot last van het algemeen, Economisch Statistische Berichten, Vol. 87, nr. 4353, March 29, p. 248–250Google Scholar

Copyright information

© Springer Science+Business Media, LLC 2009

Authors and Affiliations

  • Francis Chittenden
    • 1
  • Stefano Iancich
  • Brian Sloan
  1. 1.Manchester Business School, University of ManchesterUK

Personalised recommendations