Environmental Economics

Guidelines for Preparing Economic Analyses

The Guidelines for Preparing Economic Analyses: External Review Draft have been prepared for review by the EPA Science Advisory Board and are part of a continuing effort by the U.S. Environmental Protection Agency (EPA) to develop improved guidance on the preparation and use of sound science in support of the decision making process. This draft document builds on previous work first issued in December of 1983 as the Guidelines for Performing Regulatory Impact Analysis (US EPA 1983) and later revised in the late 1990s. In September of 2000, the EPA issued its Guidelines for Preparing Economic Analyses (US EPA 2000) (EA Guidelines), revised to reflect the evolution of environmental policy making and economic analysis that had accrued over the decade and a half since the original guidelines were released. At the time of release, the EPA committed to periodically revise the EA Guidelines to account for further growth and development of economic tools and practices.

In an effort to fulfill that commitment, this draft document incorporates new literature published since the last revision of the EA Guidelines, describes new Executive Orders and recent guidance documents that impose new requirements on analysts, and fills information gaps by providing more expansive information on selected topics. Furthermore, to facilitate the adoption of new information in the future, this document will be released electronically and in a loose-leaf format. This new, more flexible format will allow future updates and additions without requiring a wholesale revision of the document.