Biotech seed bundling leads to higher prices in U.S. cottonseed market.
The article analyzes how different types of bundled products and market structures affect pricing in the U.S. cottonseed market. The study uses data from 2002 to 2007 and focuses on the impact of biotechnology traits and vertical integration on prices. The findings show that bundling patented biotech traits leads to lower prices, while market concentration generally results in higher prices. However, there are also cases where having a variety of products can lower prices. The study also develops simulation methods to predict price changes in industries with similar complexities.