EconPapers    
Economics at your fingertips  
 

Standards vs. labels with imperfect competition and asymmetric information

Kenneth Baltzer ()

No 2011/1, IFRO Working Paper from University of Copenhagen, Department of Food and Resource Economics

Abstract: I demonstrate that providing information about product quality is not necessarily the best way to address asymmetric information problems when markets are imperfectly competitive. In a vertical dierentiation model I show that a Minimum Quality Standard, which retains asymmetric information, generates more welfare than a label, which provides full information.

Keywords: minimum quality standard; label; asymmetric information; vertical differentiation; product quality (search for similar items in EconPapers)
JEL-codes: L13 L15 L51 (search for similar items in EconPapers)
Pages: 22 pages
Date: 2011-01
References: Add references at CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://okonomi.foi.dk/workingpapers/WPpdf/WP2011/W ... ndards_vs_labels.pdf (application/pdf)

Related works:
Journal Article: Standards vs. labels with imperfect competition and asymmetric information (2012) Downloads
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:foi:wpaper:2011_1

Access Statistics for this paper

More papers in IFRO Working Paper from University of Copenhagen, Department of Food and Resource Economics Contact information at EDIRC.
Bibliographic data for series maintained by Geir Tveit ().

 
Page updated 2024-12-28
Handle: RePEc:foi:wpaper:2011_1