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The brave new world: imperfect information, segregation costs, and genetically modified organisms AgEcon
Moss, Charles B.; Schmitz, Troy G.; Schmitz, Andrew.
The introduction of genetically modified (GM) crops in the mid 1990s appeared to be the latest in a string of technological innovations in agriculture. However, consumer resistance, particularly in Europe has limited the sector’s enthusiasm. One response to the limited enthusiasm has been the emergence of segregated markets for GM and non-GM products. These separated markets reduce economic welfare because they require additional costs in the marketing system. Offsetting these segregation costs, however, the introduction of GM technologies offers increased economic welfare through reduced commodity prices for consumers who are indifferent to the presence of GM traits and increased profits to producers who adopt GM technologies. This study develops the...
Tipo: Journal Article Palavras-chave: Genetically modified (GM) crops; Compensation principle; Segregation costs; Pareto principle; Immiserizing growth; Agricultural and Food Policy; Research and Development/Tech Change/Emerging Technologies.
Ano: 2004 URL: http://purl.umn.edu/97497
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