| Home > Agricultural and Applied Economics Association (AAEA) > Agricultural and Applied Economics Association (AAEA) Conferences > 1990 Annual meeting, August 5-8, Vancouver, Canada > THE EFFECTS OF CONSUMER DEMAND ON REGULATION OF FOOD SAFETY |
A model is developed where a production input contaminates food and demand responds. Control by informed consumers is compared to efficient regulation. Information changes the market failure from a health hazard among consumers to a common pool externality among producers, so that full information alone is not sufficient for efficiency.
