Product Liability and Consumer Risk TakingߞEconomic Tradeoffs

The following 4 propositions are discussed. 1) Since every action by a producer relevant to whether the use of his product is attended by injuries has some cost and benefit consequences, a producer has numerous safety-related options available to him. 2) The degree of safety in the use of a product is an element of product quality. 3) If one focuses on the causes for some inevitable product safety costs, one may be able to anticipate and reduce the total public costs as well as private costs. 4) Liability for products is a kind of insurance device.