Abstract: In developing countries, consumers can buy many goods either in formal markets or in informal markets and decide where to purchase based on the product's price and anticipated quality. We assume consumers cannot assess quality prior to purchase and cannot, at reasonable cost, identify who produced the good they are considering. Many products (meats, fruits, vegetables, fish, grains) sold both in formal groceries and, less formally, on the street fit this description. We assume that producers can adjust quality at a cost and only firms in the formal sector are subject to government regulation. In the long run, producers migrate to the sector that is more profitable. Using this model, we demonstrate how regulations in the formal sector can lead to a quality gap between formal and informal sector goods. We moreover investigate how changes in regulation affect quality, price, aggregate production, and the number of firms in each sector.

Abstract: Today a new generation of food safety policy is emerging in OECD countries and international public health forums. The United States has actively contributed to the thinking and scientific researchunderlying this new generation of policy. A consensus has emerged among nations about the basic components of an effective food safety system based on modern science and management practices. In shorthand, the vision is of a farm-to-fork, risk-based, scientifically supported safety control system. This system is built on several decades of experience with risk management in national governments,particularly in U.S. environmental and occupational and consumer safety policy. This paper describes the elements of a risk-based, farm-to-fork food safety system as it is emerging in OECD countries guided by discussions through Codex Alimentarius and traces its roots in the development of risk management policy in the United States.

Abstract: This paper provides an overview of developments in food safety policy in major industrial countries and of economic analysis of this policy. It describes the elements of a risk-based, farm-to-fork food safety system as it is emerging in OECD countries guided by discussions through Codex Alimentarius and traces its roots in the development of risk management policy in the United States. Thegoal of this paper is to provide a nontechnical introduction to food safety policy and economics for students, economists and others interested in food safety policy, but new to the field.