Economic Impact of Bt Corn in the Philippines

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Abstract or Summary

A descriptive cost and returns analysis, a Cobb-Douglas Model and a two-step econometric procedure(that includes a Probit Model) were applied to a sample of corn farmers in selected regions of thePhilippines in order to determine the economic impact of the Bt corn variety. With and without type ofanalysis were used to establish the difference between Bt corn and non-Bt corn farms in two croppingseasons. Results showed that yield and income of Bt corn farmers were significantly higher than thoseof the non-Bt corn farmers. In addition, expenditure on insecticide was significantly lower among Btcorn farmers. Results in all study locations showed a significant welfare effect of using Bt corn varietyamong corn farmers. Educational level and farm income were among the significant factors thatinfluenced the adoption of Bt corn.


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