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Pre-empting public regulation with private food quality standards

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  • Jill J. McCluskey
  • Jason A. Winfree

Abstract

There has been a great deal of recent growth in the area of private food quality standards. This article analyses the incentives for setting private quality standards before governments do so. Since food quality standards are generally multifaceted, different types of standards will affect revenues differently. Our model shows that private firms can pre-empt public regulation by setting their own private food quality standards in order to choose the type of standards that minimises their costs. The emergence of private food standards in grocery retailing is discussed in this context. Oxford University Press and Foundation for the European Review of Agricultural Economics 2009; all rights reserved. For permissions, please email journals.permissions@oxfordjournals.org, Oxford University Press.

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File URL: http://hdl.handle.net/10.1093/erae/jbp040
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Bibliographic Info

Article provided by Foundation for the European Review of Agricultural Economics in its journal European Review of Agricultural Economics.

Volume (Year): 36 (2009)
Issue (Month): 4 (December)
Pages: 525-539

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Handle: RePEc:oup:erevae:v:36:y:2009:i:4:p:525-539

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Cited by:
  1. von Schlippenbach, Vanessa & Teichmann, Isabel, 2011. "The Strategic Use of Private Quality Standards in Food Supply Chains," 51st Annual Conference, Halle, Germany, September 28-30, 2011 114519, German Association of Agricultural Economists (GEWISOLA).
  2. Thijs Vandemoortele, 2011. "When are Private Standards more Stringent then Public Standards?," LICOS Discussion Papers 29611, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
  3. Shafaeddin, Mehdi, 2007. "Who Does Bear the Costs of Compliance with Sanitary and Phytosanitary Measures in Poor Countries?," MPRA Paper 6646, University Library of Munich, Germany.

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