Trade barriers and food-safety standards
[Conclusion]: Barriers to international trade in agricultural and food products exist for several reasons, one of which is to ensure food safety. Food safety is a credence characteristic and this attribute causes market failure through imperfect and asymmetric information. One way in which government intervention in importing countries can improve upon the market outcome is to impose trade regulations as a way of providing the missing information. Any such regulations need to be consistent with...[Show more]
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