Who Benefits from Quality Labelling? Segregation Costs, International Trade and Producer Outcomes

Lee Ann Jackson ()
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Lee Ann Jackson: School of Economics, University of Adelaide, Australia

No 2002-31, Centre for International Economic Studies Working Papers from University of Adelaide, Centre for International Economic Studies

Abstract: This paper analyses the impact of quality based labelling on product prices, factor allocation and the resulting effects on producers within the context of an international trading system. A general equilibrium model, calibrated to 1998 data, describes United States and European Union labelling regimes for genetically modified agricultural products. The results indicate that the labelling choice of trade partners have large distributive impacts within national economies, as well as across countries and highlight the importance of using general equilibrium framework to understand the system wide impacts of segregation and quality labelling.

Keywords: Labelling; price premium; international trade; political economy; biotechnology. (search for similar items in EconPapers)
Pages: 38 pages
Date: 2002-11
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