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Students Zone - Answers to Case Study Questions
3.3 BEEF HORMONES
- The European Union claims there is still a potential risk but has little scientific proof – does it have the right therefore to protect its consumers in this way? Should the consumer have the right to choose (ie if the beef was labelled)?
Answer
Science is in debate still. The EU feels potential risk but no proof (or should the US provide the proof. What scientific evidence is necessary? What degree of risk is allowable? The EU feel there should be no risk allowable. Also the threat of destabilizing the market is very real – if the newspapers found US beef hormone treated beef was being sold in the country, there would soon be a scare and little to no beef sold? (or would this happen? – something for discussion) Labelling was suggested but the US felt it would be like labelling the beef as“risky” “don’t eat me”. However some labels are ignored eg does it stop smokers to label packets in the way they do!
- Is this really a means of protecting the EU farmer?
Answer
US – reason = consumer pressure and Euro politics. Also the fact EU consumer has no confidence in food authorities is part of the problem – the EU should deal with this rather than ban the beef. US consumers have no problem eating the beef because they trust their regulators. EU should have independent regulators with transparent procedures. (But are US as aware as EU?)
- Ultimately, what is the dispute really about?
Answer
Ultimately – isn’t this a fight between two of the major lobbying groups in the US/EU ? The US farmers v the EU farmers - but in the EU there is another increasing power group – the consumer. Other questions raised are: what scientific proof is needed to ban a product? Is it right to impose further sanctions on un-related farmers to put this right? Are there other ways?
Other chapter answers >>
- Case Study 1.2 Karstadt Undertakes Investment for Survival
- Case study 1.3 Europe's International Trading Future
- Case Study 2.1 Porter's Diamond
- Case Study 2.2 The Coffee Market
- Case Study 3.1 Sugar Industry
- Case Study 3.2 FSC Dispute
- Case Study 4.1 SEM Effects of Business
- Case Study 4.2 Africa's Economic Integration
- Case study 5.1 The Effect of Exchange Rates on Businesses – The Us Dollar
- Case Study 5 2 Real Exchange Rates in the Euro-Zone
- Case Study 6.1 SEC to Rethink Post-Enron Rules
- Case Study 6.2 A Controversial New European Directive
- Case Study 8.1 Cross-Border Banking Bids in Italy
- Case Study 8.2 The Future of the London Stock Exchange (LSE)
- Case Study 9.1 Back to Bread and Butter for Europe
- Case Study 9.2 Poductivity in European and International Labour Markets
- Case Study 11.1 Poorer EU Areas Lose Funding
- Case Study 11.2 A Diverse Approach to Curbing Greenhouse Gases
- Case Study 12.1 European and US Entrepreneurship Activity
- Case Study 12.2 EU Enlargement and the SME Sector