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Journal of Agricultural & Food Industrial Organization

Ed. by Azzam, Azzeddine

2 Issues per year

CiteScore 2016: 0.70

SCImago Journal Rank (SJR) 2016: 0.223
Source Normalized Impact per Paper (SNIP) 2016: 0.660

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Protected Designation of Origin Revisited

Zohra Bouamra-Mechemache / Jad Chaaban
Published Online: 2010-08-04 | DOI: https://doi.org/10.2202/1542-0485.1306

This paper explores the impacts of Protected Designation of Origin (PDO) certification on the costs and profits of firms as well as consumers’ and total welfare. The paper argues that PDO labels are different from other common labeling schemes, as they involve technological and capacity constraints that influence their economic efficiency. Using a theoretical model of endogenous quality choice, which incorporates vertical differentiation with the costs constraints linked to the PDO label, we explore the way producers can signal their quality either by certifying their product through PDO or by investing in a collective private common label. Results show that even if PDOs are efficient from a producer perspective, a society might be better off with less stringent techniques of quality signaling, relying on private collective certification.

Keywords: public labeling; Protected Designation of Origin; collective trademark; capacity constraint

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Published Online: 2010-08-04

Citation Information: Journal of Agricultural & Food Industrial Organization, ISSN (Online) 1542-0485, DOI: https://doi.org/10.2202/1542-0485.1306.

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©2011 Walter de Gruyter GmbH & Co. KG, Berlin/Boston. Copyright Clearance Center

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