What Role Do Regulations Play in Mitigating Costs?
Effective regulations play a critical role in reducing economic costs by preventing toxic exposures before they occur. Regulatory frameworks such as the REACH (Registration, Evaluation, Authorisation, and Restriction of Chemicals) in the European Union and TSCA (Toxic Substances Control Act) in the United States aim to control the use of hazardous substances. These regulations require companies to assess and manage the risks associated with chemicals, which can prevent costly health and environmental issues.
