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Food Safety Regulation and Firm Productivity: Evidence from the French Food Industry

  • Requillart, Vincent
  • Nauges, Celine
  • Simioni, Michel
  • Bontemps, Christophe

The purpose of this article is to assess whether food safety regulations imposed by the European Union in the 2000s may have induced a slow-down in the productivity of firms in the food processing sector. The impact of regulations on costs and productivity has seldom been studied. This article contributes to the literature by measuring productivity change using a panel of French food processing firms for the years 1996 to 2006. To do so, we develop an original iterative testing procedure based on the comparison of the distribution of efficiency scores of a set of firms. Our results confirm that productivity decreased in the poultry processing industry at the time when safety regulation was reinforced.

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File URL: http://purl.umn.edu/124378
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Paper provided by Italian Association of Agricultural and Applied Economics (AIEAA) in its series Congress Papers with number 124378.

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Date of creation: 2012
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Handle: RePEc:ags:aieacp:124378
Contact details of provider: Web page: http://www.aieaa.org/

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  1. Tristen Hayfield & Jeffrey S. Racine, . "Nonparametric Econometrics: The np Package," Journal of Statistical Software, American Statistical Association, vol. 27(i05).
  2. Wilson, Paul W, 1993. "Detecting Outliers in Deterministic Nonparametric Frontier Models with Multiple Outputs," Journal of Business & Economic Statistics, American Statistical Association, vol. 11(3), pages 319-23, July.
  3. Tulkens, H. & Vanden Eeckaut, P., . "Non-frontier measures of efficiency, progress and regress for time series data," CORE Discussion Papers RP -1159, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  4. Goodwin, Harold L., Jr. & Shiptsova, Rimma, 2000. "Welfare Losses From Food Safety Regulation In The Poultry Industry," Staff Papers 15780, University of Arkansas, Department of Agricultural Economics and Agribusiness.
  5. Stefan Ambec & Mark A. Cohen & Stewart Elgie & Paul Lanoie, 2013. "The Porter Hypothesis at 20: Can Environmental Regulation Enhance Innovation and Competitiveness?," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 7(1), pages 2-22, January.
  6. Cuesta, Rafael A. & Knox, C.A. & Zofío, José Luis, 2007. "Environmental Efficiency Measurement with Translog Distance Functions: A Parametric Approach," Working Papers in Economic Theory 2007/02, Universidad Autónoma de Madrid (Spain), Department of Economic Analysis (Economic Theory and Economic History).
  7. Simar, Leopold & Zelenyuk, Valentin, 2004. "On testing equality of distributions of technical efficiency scores," MPRA Paper 28003, University Library of Munich, Germany.
  8. Paul Lanoie & Michel Patry & Richard Lajeunesse, 2008. "Environmental regulation and productivity: testing the porter hypothesis," Journal of Productivity Analysis, Springer, vol. 30(2), pages 121-128, October.
  9. Simar, L. & Wilson, P.W., 1998. "Productivity Growth in Industrialized Countries," Papers 9810, Catholique de Louvain - Institut de statistique.
  10. Steven Buccola & Fujii Yoko & Xia Yin, 2000. "Size and Productivity in the U.S. Milling and Baking Industries," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(4), pages 865-880.
  11. Christian Fischer & Sebastian Schornberg, 2007. "Assessing the competitiveness situation of EU food and drink manufacturing industries: An index-based approach," Agribusiness, John Wiley & Sons, Ltd., vol. 23(4), pages 473-495.
  12. John M. Antle, 2000. "No Such Thing as a Free Safe Lunch: The Cost of Food Safety Regulation in the Meat Industry," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(2), pages 310-322.
  13. Munisamy Gopinath, 2003. "Cross-country Differences in Technology: The Case of the Food Processing Industry," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 51(1), pages 97-107, 03.
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