The Reliability of Certification: Quality Labels as a Consumer Policy Tool

摘要: Given the large number of certification systems in food industry, it is surprising that there are only a few research approaches to economics certification. Certification schemes used ensure marketing claims for unobservable quality attributes. Under asymmetric information, process-oriented characteristics such as organic farming, animal welfare, or fair trade raise question mislabelling. In long run, reliable control procedure can reduce risk scandals. The article presents model which includes several starting points enhance efficiency and corresponding labels. On whole, tendencies towards price wars on market considerable differences performance reveal necessity institutional changes. Strategies reducing auditors’ dependence, intensifying liability, increasing reputation effects, minimizing audit costs suggested. Finally, policy implications public private monitoring discussed.