A key aspect of food markets are their vertical structures: products move along supply chains from manufacturers (or farmers) to wholesalers to retailers or food service operators to consumers. Interactions among firms in these chains give rise to a variety of economic issues that are no less important than those studied in horizontal interaction (i.e. firms competing for the same end consumer), yet previous work has tended to focus on the latter.
Department of Resource Economics
While most economists tout the benefits of using incentive-based policies (like emission taxes, emissions markets, and individual transferable quotas), many conceptual details concerning implementation and management of these policies have not been addressed. Recent research suggests that commonly-held notions of efficient incentive-based policies need to be modified to account for the costs of enforcing these policies.