The Size of Terroir: A Theoretical Note on Economics and Politics of Geographical Indications

Koen Deconinck and Johan Swinnen

Journal of Agricultural Economics, 2021, vol. 72, issue 1, 321-328

Abstract: Geographical indications (GI) certify the geographical origins of a product and delineate the specific area in which the certified product must be produced. Despite a large literature on the economics of GIs, few papers have explored the question of the optimal size of GI regions. This note presents a flexible conceptual framework to explore the economics and politics of the delimitation of a GI. The general framework describes the efficiency and distributional effects of the size of a GI and shows how this affects interest groups’ incentives to influence government decision‐making.

Date: 2021
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