Economic Evaluation of SPS Regulations: Where Can Progress be Made?

The purpose of this paper is to report on the current state of economic evaluations for sanitary and phytosanitary (SPS) regulations affecting food and agricultural trade. The paper reviews current theoretical and econometric advances and limitations in modeling SPS regulations, particularly in dealing with biological and environmental uncertainty. By systematizing limitations of current approaches for evaluation, and comparing them with approaches used in the public health arena, the paper identifies problematic areas, and suggests steps for immediate analytical and policy progress.