THE MARKET ACCEPTANCE AND WELFARE IMPACTS OF GENETIC USE RESTRICTION TECHNOLOGIES (GURTS)
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We develop an analytical framework of heterogeneous consumers and producers to examine the
market and welfare effects of Technology Use Agreements (TUAs) and variety-level Genetic Use
Restriction Technologies (V-GURTs). Specifically, we examine an innovator’s decision to
introduce V-GURTs into a new seed variety that offers enhanced agronomic characteristics to
producers and desirable functional properties to consumers, taking into account heterogeneous
consumer preferences regarding interventions in the production process and farmer
characteristics and incentives to engage in unauthorized use of proprietary seed.