The Economics and Potential Protectionism of Food Safety Standards and Inspections: An Application to the U.S. Shrimp Market

John Beghin (), Anne-Célia Disdier and Stéphan Marette

A chapter in Nontariff Measures with Market Imperfections: Trade and Welfare Implications, 2013, pp 43-71 from Emerald Group Publishing Limited

Abstract: We formally investigate the effects of an inspection system influencing safety of foreign and domestic food products in the domestic market. Consumers purchase domestic and imported food and value safety. Potential protectionism à la Fisher and Serra (2000) can arise: inspection frequency imposed on foreign producers set by a domestic social planner would be higher than the corresponding policy set by a global social planner treating all producers as domestic. The domestic social planner tends to impose most if not all of the inspection on foreign producers, which improves food safety for consumers and limits the production loss for domestic producers. Despite this protectionist component, inspections address a potential consumption externality such as health hazard in the domestic country when unsafe food can enter the country undetected. We then calibrate the analytical framework to the U.S. shrimp market incorporating key stylized facts of this market. Identifying protectionist inspection requires much information on inspection, safety, damages, and costs. We also investigate how to finance the inspection policy from a social planner perspective. Financing instruments differ between the domestic and international welfare-maximizing objectives.

Keywords: Food safety; nontariff measures; inspection; protectionism; HACCP; seafood (search for similar items in EconPapers)
Date: 2013
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... 8715(2013)0000012007
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Access to full text is restricted to subscribers

Related works:
Chapter: The Economics and Potential Protectionism of Food Safety Standards and Inspections: An Application to the U.S. Shrimp Market (2017)
Working Paper: The Economics and Potential Protectionism of Food Safety Standards and Inspections: An Application to the U.S. Shrimp Market (2013)
Working Paper: The Economics and Potential Protectionism of Food Safety Standards and Inspections: An Application to the U.S. Shrimp Market (2013)
Working Paper: The Economics and Potential Protectionism of Food Safety Standards and Inspections: An Application to the U.S. Shrimp Market (2013)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:fegzzz:s1574-8715(2013)0000012007

DOI: 10.1108/S1574-8715(2013)0000012007

Access Statistics for this chapter

More chapters in Frontiers of Economics and Globalization from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().