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Should Europe Further Strengthen Intellectual Property for Plant Breeders? An Analysis of Seed Industry Proposals

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Author Info
Eaton, Derek
van Tongeren, Frank

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Abstract

This paper illustrates the potential negative effects of increasing the scope of plant breeders' rights (PBR) protection, as has been proposed for Europe by leading plant breeding firms. Such a policy could increase the costs for varietal development for breeding companies, particularly if their access to varieties of the market leader is constrained. This is represented as an asymmetrical increase in breeders' cost functions in a simple model of endogenous quality choice under price competition. Increased scope of IPR protection leads to increased profits for the leading breeding company but decreases in varietal quality and both farm and overall profits.

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Publisher Info
Paper provided by European Association of Agricultural Economists in its series 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark with number 24725.

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Date of creation: 2005
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Handle: RePEc:ags:eaae05:24725

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Related research
Keywords: intellectual property rights; product differentiation; plant breeding; genetic diversity; Research and Development/Tech Change/Emerging Technologies; L13; O34; Q16;

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  8. Motta, Massimo, 1992. "Cooperative R&D and vertical product differentiation," International Journal of Industrial Organization, Elsevier, vol. 10(4), pages 643-661, December. [Downloadable!] (restricted)
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  9. Symeonidis, George, 2003. "Comparing Cournot and Bertrand equilibria in a differentiated duopoly with product R&D," International Journal of Industrial Organization, Elsevier, vol. 21(1), pages 39-55, January. [Downloadable!] (restricted)
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  10. Anderson, Simon P. & Goeree, Jacob K. & Ramer, Roald, 1997. "Location, Location, Location," Journal of Economic Theory, Elsevier, vol. 77(1), pages 102-127, November. [Downloadable!] (restricted)
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  14. Scotchmer, Suzanne, 1991. "Standing on the Shoulders of Giants: Cumulative Research and the Patent Law," Journal of Economic Perspectives, American Economic Association, vol. 5(1), pages 29-41, Winter. [Downloadable!] (restricted)
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  16. Rabah Amir, 1998. "Modelling Imperfectly Appropriable R&D via Spillovers," CIE Discussion Papers 1998-07, University of Copenhagen. Department of Economics. Centre for Industrial Economics.
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  17. Evenson, Robert E & Kislev, Yoav, 1976. "A Stochastic Model of Applied Research," Journal of Political Economy, University of Chicago Press, vol. 84(2), pages 265-81, April. [Downloadable!] (restricted)
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