摘要：The paper develops a framework to evaluate permits granted to firms under theEnvironmental Protection Agency's Project XL -- with emphasis on the novel air permitgranted to the Intel Corporation. We describe the permit, the process that created it, and thetypes of costs and benefits likely to arise from this type of "facility-specific" regulatoryarrangement. Among other things, the paper describes the permit's impact on environmentalquality, production costs, transaction costs, and Intel's strategic market position. The paperalso considers how an estimate of the costs and benefits -- both to Intel and society -- might beestimated. While facility-specific regulation typically conjures images of production costsavings as processes are re-engineered and low-cost abatement strategies pursued, the Intelcase highlights perhaps a more important source of benefit: flexibility in the form ofstreamlined permitting. Flexibility in this form allows for accelerated product introductions,with potentially significant benefits to the firm and possibly to society.
