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Diagnosis and Improvement of the Social Cost-Benefit Analysis in Korean Regulatory Impact Analysis -Focusing on the analysis of social values using contingent value method-

  • Journal of Regulation Studies
  • 2019, 28(1), pp.3-36
  • DOI : 10.22954/ksrs.2019.28.1.001
  • Publisher : 한국규제학회
  • Research Area : Social Science > Public Administration
  • Received : May 29, 2019
  • Accepted : June 17, 2019
  • Published : June 30, 2019

Minho LEE 1

1한국행정연구원

Accredited

ABSTRACT

Although regulatory impact analysis has been institutionalized for over 20 years, there are still many limitations in the actual implementation process. In particular, the current regulatory policy debate emphasizes the fact that the social effects of regulation are not fully analyzed, and the current government has suggested strengthening the analysis of social regulatory cost benefits as an important policy task. In this context, this study pointed out that the analysis focusing on social value as social purpose should be emphasized as the analytic contents(society as an end approach) by differentiating the social regulatory cost benefit analysis from the existing approach as the analysis unit (society as a whole approach). As a reflection on the focus on the regulation cost analysis of regulated firms and small business owners after the introduction of the Cost-in, Cost-out system, it is necessary to expand the analysis of the social benefits of regulation for the general public, which can be expected to contribute enhancing social values of government regulations. Based on the conceptual understanding of the social cost-benefit analysis, the level of application of the social cost-benefit analysis in the current process of preparing the regulatory impact analysis was analyzed. As a result, only 64 (2.7%) of the total 2,355 analyses completed between 2015-2016 have conducted quantitative cost-benefit analyses on general public. In addition, this study intends to provide basic information that can be referenced in future analysis through social value estimation and relative comparison. The social benefits of major regulatory policies for the four sectors of environment, disaster safety, vulnerable class protection, and economic activation were estimated through using the Contingent Value Method(CVM). In conclusion, based on the issues discussed in this study, some policy implications are suggested to improve current regulation impact analysis system for revitalizing social cost benefit analysis.

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