Risk assessment, or risk-cost-benefit analysis (RCBA), an offshoot of decision analysis, has been widely touted as a “developing science” (see, for example, Levine 1979, p. 634). Used to help administrators make decisions on how to spend money, this set of procedures is directed at calculating whether the expected benefits from a proposed activity outweigh its expected risks or costs. For example, experts might wish to determine, given the risk of nuclear core melt and the possible resultant release of radioactive materials, whether additional containment (for reactor vessels) would be cost-effective.
In the sixties, RCBA was integrated into the planning and budgeting efforts of many federal agencies in the defense, aerospace, and energy fields. In the seventies, a number of regulatory agencies controlling environmental and occupational hazards likewise began to use the technique.