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Production Systems Competition And The Pricing Of Innovations: An Application To Biotechnology And Seed Corn

Listed author(s):
  • Alexander, Corinne E.
  • Goodhue, Rachael E.

Farmers now choose production systems rather than individual inputs. This change may limit biotechnology innovation rents. We model a corn farmer's production choice among four systems: traditional, herbicide-resistant, insect resistant, and high-oil. We compare actual seed and chemical prices to the maximum rent the biotechnology firm can obtain.

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File URL: http://purl.umn.edu/21646
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Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 1999 Annual meeting, August 8-11, Nashville, TN with number 21646.

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Date of creation: 1999
Handle: RePEc:ags:aaea99:21646
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  1. Pray, Carl E. & Fuglie, Keith O. & Johnson, Daniel K.N., 2007. "Private Agricultural Research," Handbook of Agricultural Economics, Elsevier.
  2. Moschini, GianCarlo & LAPAN, HARVEY E, 1997. "Intellectual Property Rights and the Welfare Effects of Agricultural R&D," ISU General Staff Papers 199703010800001286, Iowa State University, Department of Economics.
  3. Kalaitzandonakes, Nicholas & Bjornson, Bruce, 1997. "Vertical and Horizontal Coordination in the Agro-biotechnology Industry: Evidence and Implications," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 29(01), pages 129-139, July.
  4. Goodhue, Rachael E. & Rausser, Gordon C., 2003. "Value Differentiation," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 28(03), December.
  5. Frisvold, George B. & Fuglie, Keith O. & Klotz-Ingram, Cassandra, 1998. "Growth of Private Agricultural Research," Choices, Agricultural and Applied Economics Association, vol. 13(2).
  6. Giancarlo Moschini & Harvey Lapan, 1997. "Intellectual Property Rights and the Welfare Effects of Agricultural R&D," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(4), pages 1229-1242.
  7. Fuglie, Keith O. & Klotz-Ingram, Cassandra & Gill, Mohinder, 1996. "Intellectual Property Rights Encourage Private Investment in Plant Breeding," Choices, Agricultural and Applied Economics Association, vol. 11(1).
  8. Julian M. Alston & Philip G. Pardey, 1996. "Making Science Pay," Books, American Enterprise Institute, number 53242, September.
  9. Richard E. Just & Darrell L. Hueth, 1993. "Multimarket Exploitation: The Case of Biotechnology and Chemicals," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 75(4), pages 936-945.
  10. Nicholas Kalaitzandonakes, 1997. "Mycogen: Building a Seed Company for the Twenty-first Century," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 19(2), pages 453-462.
  11. Mingxia Zhang, 1997. "The Effects of Imperfect Competition on the Size and Distribution of Research Benefits," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(4), pages 1252-1265.
  12. Julian M. Alston & Philip G. Pardey & Jennifer S. James & Matthew A. Anderson, 2009. "The Economics of Agricultural R&D," Annual Review of Resource Economics, Annual Reviews, vol. 1(1), pages 537-566, September.
  13. Kalaitzandonakes, Nicholas G. & Bjornson, Bruce, 1997. "Vertical And Horizontal Coordination In The Agro-Biotechnology Industry: Evidence And Implications," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 29(01), July.
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