Regulation: threat to converging technologies.

This article discusses two competing principles underlying efforts to regulate technological developments converging at the nanoscale that are intended to promote human health: the internalization of social cost by use of economic cost-benefit analysis and the precautionary principle by implementation of preventative safety standards. Overemphasis of the former may lead to potential unacceptable political and ethical effects while narrow focus on the latter may lead to potential retardation of innovation by deterring private risk capital investment. Suggestions are made for reconciling these principles through legislative initiatives.