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Wiley InterScience | |||||||||||
  American Journal of Agricultural EconomicsVolume 89 Issue 4, Pages 947 - 963 Published Online: 9 Aug 2007 © 2009 Agricultural and Applied Economics Association
Abstract | References | Full Text: HTML, PDF (Size: 227K) | Related Articles | Citation Tracking 
Collective Marketing Arrangements for Geographically Differentiated Agricultural Products: Welfare Impacts and Policy Implications
This research was funded by the Center for Agriculture and Rural Development at Iowa State University. Copyright 2007 American Agricultural Economics Association KEYWORDS agricultural products • collective promotion • geographic indications • supply control • quality ABSTRACTWe examine the incentives of atomistic producers to differentiate and collectively market products. We analyze market and welfare effects of alternative producer organizations, discuss circumstances under which they will evolve, and describe implications for the ongoing debate between the EU and the United States. As fixed costs of development and marketing increase and the anticipated market size falls, it becomes essential to increase the producer organization's ability to control supply to cover the fixed costs associated with the introduction of differentiated products. Counterintuitively, stronger property right protection for producer organizations may enhance welfare even after a differentiated product has been developed.
[Received May 2006; | 
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