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The Global Welfare Effects of GM Sugar Beet under Changing Sugar Policies

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  • Dillen, Koen
  • Demont, Matty
  • Tollens, Eric

Abstract

Since most of the recent agricultural biotechnology innovations have been developed by private companies, the central focus of societal interest is on the distribution of the gains from these technologies among all stakeholders. In a partial equilibrium model, assuming perfect corporate pricing strategies given the heterogeneous population of potential adopters, we model the worldwide introduction of GM sugar beet. The introduction is modelled under both the old and new CMO for sugar in the EU. We see GM sugar beet could bring great benefits to both consumers in the world and sugar beet producers even when the innovation is protected by intellectual property rights and the innovator uses his restricted monopoly to the full extend.

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Bibliographic Info

Paper provided by European Association of Agricultural Economists in its series 2008 International Congress, August 26-29, 2008, Ghent, Belgium with number 43944.

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Date of creation: 2008
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Handle: RePEc:ags:eaae08:43944

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Keywords: GM; sugar beet; partial equilibrium; Agricultural and Food Policy; Crop Production/Industries;

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  1. Johan F.M. Swinnen & Harry de Gorter, 1998. "Endogenous Commodity Policies and the Social Benefits from Public Research Expenditures," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(1), pages 107-115.
  2. Matin Qaim & Greg Traxler, 2005. "Roundup Ready soybeans in Argentina: farm level and aggregate welfare effects," Agricultural Economics, International Association of Agricultural Economists, vol. 32(1), pages 73-86, 01.
  3. José Benjamin Falck-Zepeda & Greg Traxler & Robert G. Nelson, 2000. "Surplus Distribution from the Introduction of a Biotechnology Innovation," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(2), pages 360-369.
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Cited by:
  1. Wesseler, Justus & Scatasta, Sara, 2009. "Editor’s introduction. the future of agricultural biotechnology: creative destruction, adoption, or irrelevance?–in honor of Prof. Vittorio Santaniello," MPRA Paper 25603, University Library of Munich, Germany.

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