Eco 550

The Sarbanes Oxley Act was passed in response toWeek 8

Discussion 1

"Product Safety" Please respond to the following:

* Analyze the ways in which the U.S. government regulates product safety and make at least one recommendation for how the regulatory approach of one of the agencies discussed (FDA, CPSC, or NHTSA) could be improved. Explain your rationale. 

“Product Safety”  Analyze the ways in which the U.S. Government regulates product safety and make at least one recommendation for how the regulatory approach of one of the agencies discussed (FDA, CPSC, OR NHTSA) could be improved.  Explain your rationale. 

The United States Government has a responsibility to all consumers to regulate product safety.  The CPSC or United States Consumer Product Safety Commission was created in 1972.  The primary purpose of this agency is to work in conjunction with other regulatory agencies such as FDA and NHTSA.  The most important point of the CPSC is that it is an independent agency and reports directly to Congress and the President and the agency is operated by three commissioners who are nominated by the President of the United States and requires confirmation by the Senate with a seven year term period.  The advantage of this type operation would be the appointed commissioners have enough time in office to make marked contributions to issues that may arise during their tenure.  There are a few products that do not fall under this jurisdiction.  They include the FDA which regulates drugs and food and the NHTSA regulates automobiles. 

It is my opinion that based on the large responsibility held by the CPSC, my recommendation for improvement in this area would be little to known based on the clarity of operations of this department.  Whereas, with FDA, many lawsuits have been filed where Tort Claims have been filed or a drug manufacturer failed to keep updated documents on a particular drug  i.e. Levine vs. Wyeth. 

* Review “The Ford Pinto Case” in Chapter...