Collective Marketing Arrangements for Geographically Differentiated Agricultural Products: Welfare Impacts and Policy Implications

Sergio Horacio Lence, Stéphan Marette (), Dermot Hayes () and William Foster

Staff General Research Papers from Iowa State University, Department of Economics

Abstract: We examine the incentives of atomistic producers to differentiate and collectively market products. We analyze market and welfare effects of alternative producer organizations, discuss circumstances under which they will evolve, and describe implications for the ongoing debate between the EU and the United States. As fixed costs of development and marketing increase and the anticipated market size falls, it becomes essential to increase the producer organization's ability to control supply to cover the fixed costs associated with the introduction of differentiated products. Counterintuitively, stronger property right protection for producer organizations may enhance welfare even after a differentiated product has been developed.

Keywords: agricultural products; collective promotion; geographic indications; supply control; quality (search for similar items in EconPapers)
JEL-codes: Q1 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr and nep-mkt
Date: 2007-03-20
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Published in American Journal of Agricultural Economics, November 2007, Vol. 89, No. 4, pp. 947-63.

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http://www.blackwell-synergy.com/doi/full/10.1111/j.1467-8276.2007.01036.x

Related works:
Working Paper: Collective Marketing Arrangements for Geographically Differentiated Agricultural Products: Welfare Impacts and Policy Implications (2006)
Working Paper: Collective Marketing Arrangements for Geographically Differentiated Agricultural Products: Welfare Impacts and Policy Implications (2006)
Working Paper: Collective Marketing Arrangements for Geographically Differentiated Agricultural Products: Welfare Impacts and Policy Implications (2006)
Working Paper: Collective Marketing Arrangements for Geographically Differentiated Agricultural Products: Welfare Impacts and Policy Implications (2006)
Journal Article: Collective Marketing Arrangements for Geographically Differentiated Agricultural Products: Welfare Impacts and Policy Implications (2007)
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Persistent link: http://EconPapers.repec.org/RePEc:isu:genres:12758

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