Analysis for the Effect of GMO Labeling and Segregation Enforcement on the Domestic Economy
2008
Jin, H.J. (Chung-Ang University, Ansung, Republic of Korea), E-mail: [email protected] | Kim, J.I. (Chung-Ang University, Ansung, Republic of Korea), E-mail: [email protected] | Park, K.H. (Chung-Ang University, Ansung, Republic of Korea), E-mail: [email protected]
The labeling system for genetically modified organism (GMO) was introduced in Korea 2001. However, no study has been completed regarding the economic effects of the enforcement. This study use a computable general equilibrium model, named Global Trade Analysis Project (GTAP), to evaluate the economic effects of three alternative GMO labeling regimes and segregated marketing enforcement scenarios. Analytical results show that out of three alternatives the scenario of voluntary labeling for non-GMO products and imposing the segregation cost to providers affects the Korean economy the most, while the mandatory labeling for GMO products and imposing taxes on the people for the segregation cost brings the smallest economic impact to the economy.
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