Reference no: EM133538578

Assignment:

The Canadian Cost-Benefit Analysis Guide sets out the general methodology and analytical steps to perform a cost-benefit analysis of proposed regulatory changes in Canada. To make the Guide operational, a case study was prepared by Glenn P. Jenkins, Chun-Yan Kuo and Aygul Ozbafli of Queens's University, on the regulations to lower the level of sulphur in gasoline in Canada. Based on this reading, answer the following questions;

a. What was the policy issue concerning the sulphur content of gasoline in Canada at the time?

b. In the Cost-Benefit Analysis conducted, discuss the baseline and alternative scenarios considered, discount rate, time period, consideration of risk and uncertainty, and distributional consequences.

c. With respect to the costs of the proposed regulation, what type of costs were considered?

d. With respect to the benefits of the proposed regulation, what type of benefits were considered? What valuation studies were conducted?

e. Which policy option was chosen by the Ministry of Environment? Did the policy satisfy the efficiency criteria.

f. Are there any limitations of the study? Explain briefly.

g. Go to the Environment and Climate Change Canada website to check if the sulphur in gasoline regulations have become more stringent since its first implementation.