2 ms·

All regulated industries receive liability breaks as "compensation" for being regulated. For example, many classes of product approved by the FDA are considered

All regulated industries receive liability breaks as "compensation" for being regulated. For example, many classes of product approved by the FDA are considered immune from liabilities related to dangers discovered in application[0], in particular, medical devices[1]. I agree that it is likely to distort the markets and incentivize regulatory capture. [0] https://en.wikipedia.org/wiki/FDA_preemption https://en.wikipedia.org/wiki/FDA_preemption [1] https://en.wikipedia.org/wiki/Riegel_v._Medtronic,_Inc https://en.wikipedia.org/wiki/Riegel_v._Medtronic,_Inc.

wpietri 3y ago
Do you have more examples for this "all"? There are a lot of regulated industries out there, and I haven't heard of liability exemptions for them. E.g., food is highly regulated, but there are plenty of lawsuits over that. Ditto cars. Or banks. Or airplanes. From what I've seen, I think things like the Price-Anderson Act are less about universal liability protections for regulated activities, and more about special pleading by people with money. It seems to me that the correct response for "this is so dangerous nobody will insure it" is not "well fuck it, go ahead and the government will cover your losses."