Food-borne Illnesses and Liability in the U.S

Marziyeh Bahalou Horeh, Levan Elbakidze, Ana Cluadia Sant'Anna
2021 unpublished
Food contamination is one of the leading causes of illness and mortality worldwide. In 2018, 1,052 foodborne disease outbreaks were documented in the U.S. involving fresh fruits, vegetables, meat products, restaurants, schools, and food stores. This study investigates the impacts of product liability laws on the reported number of food-borne illness outbreaks and related cases in the U.S. during 1998-2018. Using state-level data and panel regression models we find a positive and statistically
more » ... gnificant relationship between the application of strict liability with punitive damages and the reported number of food-borne illness outbreaks and related cases. However, we find no statistically significant effect of strict liability with punitive damages on the reported number of food-borne-illness-related hospitalizations and deaths. Implications from increased early reporting are twofold: 1) improved government estimates of financial and mortality-related costs due to food-borne illnesses; 2) prevention of severe cases of food-borne illnesses that can cause hospitalizations and deaths. Both help stakeholders expand resources and efforts in foodborne illness prevention.
doi:10.22004/ag.econ.312822 fatcat:cbobvkaaazeijpe2movowr6zgi