摘要：There exists much uncertainty about consumer attitudes towards genetically modifiedfoods. If it happens that sufficient (insufficient) acres are planted under non-modified seed tomeet post-harvest demand, then a price premium will not (will) emerge for the non-modifiedvarieties. A non-linearity originates in the fact that a price premium may be supported. Thisnon-linearity interacts with the extent of demand uncertainty to determine equilibrium varietalplantings and the probability that post-harvest varietal prices will differ. Also, as plantingapproaches signals will be received by growers about the nature of demand they will be plantinginto. We show how the non-linearity affects the order on the types of signals that risk-neutralgrowers will prefer to receive.
关键词：biotechnology; demand uncertainty; price premium; value of information
