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Genetically Modified Rice Adoption: Implications for Welfare and Poverty Alleviation

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Author Info

  • Anderson, Kym

    ()
    (The World Bank)

  • Jackson, Lee Ann

    ()
    (World Trade Organization)

Abstract

The first generation of genetically modified (GM) crop varieties sought to increase farmer profitability through cost reductions or higher yields. The next generation of GM food research is focusing also on breeding for attributes of interest to consumers, beginning with ‘golden rice’, which has been genetically engineered to contain a higher level of vitamin A and thereby boost the health of poor people in developing countries. This paper analyses empirically the potential economic effects of adopting both types of innovation in Asia, including its impact on rice producers and other poor households. It does so using the global economy-wide computable general equilibrium model known as GTAP. The results suggest the very considerable farm productivity gains (even if extended beyond GM rice to include those from adopting other GM grains and oilseeds) could be exceeded by the welfare gains resulting from the potential health-enhancingattributes of golden rice, which would boost the productivity of unskilled workers among Asia’s poor.

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Bibliographic Info

Article provided by Center for Economic Integration, Sejong University in its journal Journal of Economic Integration.

Volume (Year): 20 (2005)
Issue (Month): ()
Pages: 771-788

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Handle: RePEc:ris:integr:0340

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Web page: http://econo.sejong.ac.kr/
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Related research

Keywords: GMOs; Golden rice; Consumer preferences; Nutritional attributes;

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References

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  1. Huang, Jikun & Hu, Ruifa & van Meijl, Hans & van Tongeren, Frank, 2004. "Biotechnology boosts to crop productivity in China: trade and welfare implications," Journal of Development Economics, Elsevier, vol. 75(1), pages 27-54, October.
  2. Chantal Nielsen & Kym Anderson, 2001. "Global market effects of alternative European responses to genetically modified organisms," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 137(2), pages 320-346, June.
  3. Dawe, D. & Robertson, R. & Unnevehr, L., 2002. "Golden rice: what role could it play in alleviation of vitamin A deficiency?," Food Policy, Elsevier, vol. 27(5-6), pages 541-560.
  4. Anderson, Kym & Nielsen, Chantal, 2004. "Economic Effects of Agricultural Biotechnology Research in the Presence of Price-Distorting Policies," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 19, pages 374-394.
  5. Zimmermann, Roukayatou & Qaim, Matin, 2002. "Projecting The Benefits Of Golden Rice In The Philippines," Discussion Papers 18753, University of Bonn, Center for Development Research (ZEF).
  6. Meijl, Hans van & Tongeren, Frank van, 2004. "International diffusion of gains from biotechnology and the European Union's Common Agricultural Policy," Agricultural Economics, Blackwell, vol. 31(2-3), pages 307-316, December.
  7. Jackson, Lee Ann & Anderson, Kym, 2003. "WHY ARE US AND EU POLICIES TOWARD GMOs SO DIFFERENT?," 2003 Conference (47th), February 12-14, 2003, Fremantle, Australia 57898, Australian Agricultural and Resource Economics Society.
  8. W. Jill Harrison & J. Mark Horridge & K.R. Pearson, 1999. "Decomposing Simulation Results with Respect to Exogenous Shocks," Centre of Policy Studies/IMPACT Centre Working Papers ip-73, Victoria University, Centre of Policy Studies/IMPACT Centre.
  9. W. Jill Harrison & K.R. Pearson, 1994. "Computing Solutions for Large General Equilibrium Models Using GEMPACK," Centre of Policy Studies/IMPACT Centre Working Papers ip-64, Victoria University, Centre of Policy Studies/IMPACT Centre.
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Cited by:
  1. Taing, William & Ahmadi-Esfahani, Fredoun Z., 2009. "GM technology and the Australian canola," 2009 Conference (53rd), February 11-13, 2009, Cairns, Australia 48191, Australian Agricultural and Resource Economics Society.
  2. Jay R. Corrigan & Dinah Pura T. Depositario & Rodolfo M. Nayga & Ximing Wu & Tiffany P. Laude, 2006. "Comparing Open-Ended Choice Experiments and Experimental Auctions: An Application to Golden Rice," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(3), pages 837-853.
  3. Gruere, Guillaume & Bouet, Antoine & Mevel, Simon, 2007. "Genetically modified food and international trade: The case of India, Bangladesh, Indonesia, and the Philippines," IFPRI discussion papers 740, International Food Policy Research Institute (IFPRI).
  4. Frisvold, George B. & Bicknell, Kathryn & Bicknell, Ross, 2005. "A Preliminary Analysis of the Benefits of Introducing Apomixis into Rice," 2005 Conference, August 26-27, 2005, Nelson, New Zealand 98515, New Zealand Agricultural and Resource Economics Society.
  5. Stein, Alexander J. & Sachdev, H.P.S. & Qaim, Matin, 2006. "Can genetic engineering for the poor pay off? An ex-ante evaluation of Golden Rice in India," Research in Development Economics and Policy (Discussion Paper Series) 8534, Universitaet Hohenheim, Department of Agricultural Economics and Social Sciences in the Tropics and Subtropics.

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