Kiel Working Papers, Kiel Institute for World Economics
No 1054:
Conserving Biodiversity by Commercialization? A Model Framework for a Market for Genetic Resources
Oliver Deke
Abstract: Since naturally occurring genetic information serves as a
valuable input for biotechnological R&D, the private provision of genetic
resources could generate income for the protection of biodiversity-rich
areas. However, there has been a controversy over whether these potential
revenues are sufficient to compensate for the costs of protection and,
therefore, whether markets for genetic resources can effectively contribute
to the conservation of biodiversity. In this paper, a market framework is
developed to describe possible market outcomes, each with a different
impact on conservation. It turns out that the market-induced incentives to
conserve depend on the specific situation on the supply and demand side of
the market.
Keywords: Biodiversity, Biotechnological R&D, Conservation, Genetic Resources, Land-Use.; (follow links to similar papers)
JEL-Codes: O13; O31; Q1; Q2; (follow links to similar papers)
33 pages, June 2001
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