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Reshaping The Conventional Welfare Economics Framework For Estimating The Economic Impact Of Agricultural Biotechnology In The European Union

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  • Demont, Matty
  • Tollens, Eric

Abstract

Some of the crucial assumptions of applied welfare economics do not hold any longer in the case of agricultural biotechnology innovations. We review some modifications to the conventional methodologies measuring the size and distribution of agricultural research benefits, which are critical for the assessment of the economic impact of agricultural biotechnology in the European Union. While some modifications are related to the specific features of modern agricultural biotechnology and technology adoption, others are related to the specific institutional settings of the European Union's Common Agricultural Policy and commodity markets.

Suggested Citation

  • Demont, Matty & Tollens, Eric, 2001. "Reshaping The Conventional Welfare Economics Framework For Estimating The Economic Impact Of Agricultural Biotechnology In The European Union," Working Papers 31835, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
  • Handle: RePEc:ags:kucawp:31835
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    File URL: http://ageconsearch.umn.edu/record/31835/files/wp010057.pdf
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    References listed on IDEAS

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    1. Demont, Matty & Tollens, Eric, 2001. "Uncertainties Of Estimating The Welfare Effects Of Agricultural Biotechnology In The European Union," Working Papers 31828, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    2. Giancarlo Moschini & Harvey Lapan & Andrei Sobolevsky, 2000. "Roundup ready® soybeans and welfare effects in the soybean complex," Agribusiness, John Wiley & Sons, Ltd., vol. 16(1), pages 33-55.
    3. Julie A. Caswell & Eliza M. Mojduszka, 1996. "Using Informational Labeling to Influence the Market for Quality in Food Products," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(5), pages 1248-1253.
    4. Lapan, Harvey E & Moschini, Giancarlo, 2000. "Incomplete Adoption of a Superior Innovation," Economica, London School of Economics and Political Science, vol. 67(268), pages 525-542, November.
    5. Bullock, D. S. & Desquilbet, M., 2002. "The economics of non-GMO segregation and identity preservation," Food Policy, Elsevier, vol. 27(1), pages 81-99, February.
    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. Wesseler, Justus, 2000. "Temporal Uncertainty And Irreversibility: A Theoretical Framework For The Decision To Approve The Release Of Transgenic Crops," Transitions in Agbiotech: Economics of Strategy and Policy, June 24-25, 1999, Washington, D.C. 26010, Regional Research Project NE-165 Private Strategies, Public Policies, and Food System Performance.
    8. 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.
    9. Giannakas, Konstantinos & Fulton, Murray, 2000. "Consumption effects of genetic modification: what if consumers are right?," EPTD discussion papers 69, International Food Policy Research Institute (IFPRI).
    10. Pray, Carl & Ma, Danmeng & Huang, Jikun & Qiao, Fangbin, 2001. "Impact of Bt Cotton in China," World Development, Elsevier, vol. 29(5), pages 813-825, May.
    11. Miranowski, John A. & Moschini, Giancarlo & Babcock, Bruce A. & Duffy, Michael & Wisner, Robert & Beghin, John C. & Hayes, Dermot J. & Lence, Sergio H & Baumel, C. Phillip & Harl, Neil E., 1998. "Economic Perspectives on GMO Market Segregation," ISU General Staff Papers 199801010800001297, Iowa State University, Department of Economics.
    12. Nadolnyak, Denis A. & Sheldon, Ian M., 2001. "Simulating The Effects Of Adoption Of Genetically Modified Soybeans In The U.S," 2001 Annual meeting, August 5-8, Chicago, IL 20734, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    13. 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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    Citations

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    Cited by:

    1. Demont, Matty & Tollens, Eric, 2001. "Uncertainties Of Estimating The Welfare Effects Of Agricultural Biotechnology In The European Union," Working Papers 31828, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    2. Tollens, Eric, 2003. "Poverty And Livelihood Entitlement, How It Relates To Agriculture," Working Papers 31856, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    3. Demont, Matty & Tollens, Eric, 2001. "Welfare Effects Of Transgenic Sugarbeets In The European Union: A Theoretical Ex-Ante Framework," Working Papers 31852, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    4. Tollens, Eric, 2002. "Food Security In Kinshasa, Coping With Adversity," Working Papers 31848, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    5. Demont, Matty & Jouve, Philippe & Stessens, Johan & Tollens, Eric, 2000. "The Evolution Of Farming Systems In Northern Cote D'Ivoire: Boserup Versus Malthus And Competition Versus Complementarity," 2000 Annual meeting, July 30-August 2, Tampa, FL 21865, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Tollens, Eric, 2002. "Market Information Systems In Liberalized African Export Commodity Markets: The Case Of Cocoa And Coffee In Cote D'Ivoire, Nigeria And Cameroon," Working Papers 31860, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    7. Tollens, Eric, 2003. "Current Situation Of Food Security In The D.R. Congo: Diagnostic And Perspectives," Working Papers 31853, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    8. Tollens, Eric & Demont, Matty & Swennen, Rony, 2003. "Agrobiotechnology In Developing Countries: North-South Partnerships Are A Key," Working Papers 31837, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.

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