IDENTITY PRESERVATION AND FALSE LABELING IN THE FOOD SUPPLY CHAIN

Alexander E. Saak

No 18614, Hebrew University of Jerusalem Archive from Hebrew University of Jerusalem

Abstract: The paper addresses two issues pertaining to the market differentiation between non-genetically modified (non-GM) and genetically modified (GM) food varieties. First, a cost-efficiency explanation is given for the discrepancy between the observed shares of identity preserved non-GM variety and the total supply of the variety. Second, the analysis shows 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, the analysis demonstrates that the share of falsely labeled supply can increase in response to harsher fines.

Keywords: Food; Consumption/Nutrition/Food; Safety (search for similar items in EconPapers)
Pages: 30
Date: 2002
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Persistent link: https://EconPapers.repec.org/RePEc:ags:hebarc:18614

DOI: 10.22004/ag.econ.18614

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