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GTAP Resource #1068

"International Diffusion of Gains from Biotechnology and the European Union’s Common Agricultural Policy"
by van Meijl, Hans and Frank van Tongeren

This paper analyses the impact of adopting or rejecting genetically modified GM crops in the EU, taking into account the European Union’s Common Agricultural Policy (CAP). In this paper the productivity impact of GMs differs across crops, as it takes factor biased technology change into account. The transfer of knowledge across countries is modelled as a process of endogenous knowledge spillovers. Analyses with a multi-region applied general equilibrium model shows that CAP protects farm income and production from not adopting GM crops in the EU but has costs in terms of welfare. The EU will forgo substantial benefits if it banned GM imports.

Resource Details (Export Citation) GTAP Keywords
Category: GTAP Application
2002 Conference Paper
Status: Published
By/In: Presented at the 5th Annual Conference on Global Economic Analysis, Taipei, Taiwan
Date: 2002
Created: van Meijl, H. (5/1/2002)
Updated: Bacou, M. (7/16/2002)
Visits: 2,746
- Agricultural policies
- Technological change
- European Union

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