Data/hora: 12/06/2024 04:26:12

Provedor de dados: | 31
País: | United States
Título: | IDENTITY PRESERVATION AND LABELING OF GENETICALLY MODIFIED PRODUCTS: SYSTEM DESIGN AND ENFORCEMENT ISSUES
Autores: | Moschini,   GianCarlo; Lapan,   Harvey E.
Data: | 2004-10-18
Ano: | 2004
Palavras-chave: | Biotechnology; Enforcement; Food labeling; Identity preservation; Regulation; Uncertainty; Research and Development/Tech Change/Emerging Technologies.
Resumo: | This paper analyzes economic issues that arise in devising a credible and enforceable system of identity preservation and labeling for genetically modified (GM) and non-GM products. The model represents three stages in the supply chain: farm production, marketing handlers, and final users. The possibility of accidental co-mingling of non-GM products is modeled at the marketing stage. Regulation takes the form of a threshold level of purity for non-GM products, a probability of government testing to verify compliance with the threshold level, and a fine for violators. Uncertainty is modeled explicitly, such that would-be suppliers of non-GM products always face some risk of failing the test and incurring a fine. The paper also presents a novel demand specification for differentiated GM and non-GM products that is particularly useful in our stochastic framework. The results emphasize the role and impact of an uncertain testing technology, a critical feature in this setting. We also highlight the somewhat nonstandard trade-off between frequency of testing and the size of the fine that applies here. Because testing can prevent mislabeled product from reaching the consumer, it can provide a direct welfare benefit. An equilibrium that includes production of the non-GM good may only be supportable with sufficiently high testing frequency (a high penalty for mislabeling may not suffice).
Tipo: | Working or Discussion Paper
Idioma: | Inglês

Identificador:

15173

http://purl.umn.edu/18355

Editor: | AgEcon Search

Relação:

Iowa State University&gt;Center for Agricultural and Rural Development&gt;CARD Working Paper Series

CARD Working Paper 04-WP 375

Formato:

23

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