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Identity Preservation and False Labeling in the Food Supply Chain

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  • Alexander E. Saak

Abstract

In this paper I address two issues pertaining to the market differentiation between non-genetically modified (non-GM) and genetically modified (GM) food varieties. First, I provide a cost-efficiency explanation of the discrepancy between the observed shares of identity preserved non-GM variety and the total supply of the variety. Second, I show that when products can be falsely labeled as non-GM, the share of false labeling depends on the level of identity preservation. In this context, I demonstrate that the share of falsely labeled supply can increase in response to harsher fines.

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Bibliographic Info

Paper provided by Food and Agricultural Policy Research Institute (FAPRI) at Iowa State University in its series Food and Agricultural Policy Research Institute (FAPRI) Publications with number 02-wp295.

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Date of creation: Feb 2002
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Handle: RePEc:ias:fpaper:02-wp295

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Cited by:
  1. Desquilbet, Marion & Bullock, David S., 2003. "Who Pays The Costs Of Non-Gmo Segregation And Identity Preservation, And Who Is To Blame?," 2003 Annual meeting, July 27-30, Montreal, Canada 22011, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  2. Antonio Seccia & Antonio Stasi & Luigi Roselli, 2006. "Atteggiamento dei consumatori nei confronti dell'evoluzione del sistema agro-alimentare: l'introduzione di alimenti geneticamente modificati," ECONOMIA AGRO-ALIMENTARE, FrancoAngeli Editore, vol. 10(1).

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