The market acceptance and welfare impacts of genetic use restriction technologies (GURTS)
AbstractThe paper develops a theoretical framework of heterogeneous consumers and producers to examine the market and welfare effects of the introduction of variety-level genetic use restriction technologies (V-GURTs) under the current No-Labeling regime of GMPs in the US market. Specifically, the study examines how the agronomic characteristics of GURTs, consumer perceptions and preferences regarding interventions in the production process (i.e., genetic modification) and producer cost structures (e.g., dependency on saving seed) affect the adoption of the technology by producers, the market acceptance of GURTs by consumers and consequently the innovator's incentive to introduce the new technology. Analytical results show that the introduction of GURTs may be welfare enhancing for consumers, producers and innovating firms when consumer aversion to GURTs is low, the agronomic benefits of the GURTs crop are high, and the expected penalty producers face when they cheat on their GM licensing agreements (e.g., due to inefficient or costly monitoring) is low.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by European Association of Agricultural Economists in its series 98th Seminar, June 29-July 2, 2006, Chania, Crete, Greece with number 10097.
Date of creation: 2006
Date of revision:
genetic use restriction technologies; genetic modification; producer and consumer welfare; Research and Development/Tech Change/Emerging Technologies;
You can help add them by filling out this form.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).
If references are entirely missing, you can add them using this form.