Genetically Modified Food (GMF)

Definition of 'Genetically Modified Food (GMF)'


Food that is produced from organisms that have had their genes engineered to introduce traits that have not been created through natural selection. Genetically modified foods have been commercially available since the 1990s, and is most often associated with fruits and vegetables. Genetically modifying a food involves introducing a gene into a fruit, vegetable, or animal from another organism. Broad scientific consensus suggests that genetically modified foods present no more danger than conventional food.

Investopedia explains 'Genetically Modified Food (GMF)'


Proponents of genetically modified foods point to the benefits of introducing desirable genetic traits into food. For example, scientists may engineer fruits and vegetables to have higher yields, to resist certain diseases or pests, or to be able to tolerate pesticides or herbicides.  The 20th century Green Revolution owed much of its success to the introduction of plants that could produce higher yields in more adverse conditions, such as in the presence of less water. Norman Borlaug won a Nobel Prize for his work with wheat, and helped drastically improve wheat yields in Mexico, India, and Pakistan since the 1950s.

Critics of genetically modified foods have argued that this type of food should be labeled differently than food produced conventionally. They argue that there is uncertainty as to the effect of genetically modified organisms on the health of consumers, as well as to the impact of such organisms on the environment. For example, genetically modified organisms may squeeze out conventional fruits and vegetables from the environment, which may impact the animals, insects, and other organisms that have traditionally used those plants to survive. Other theoretical threats are that genes from genetically modified organisms may move to conventional crops (outcrossing), or may be transferred from food to the consumer.

Several countries have passed or proposed legislation regulating the development and use of genetically modified organisms in the food supply.



comments powered by Disqus
Hot Definitions
  1. Walras' Law

    An economics law that suggests that the existence of excess supply in one market must be matched by excess demand in another market so that it balances out. So when examining a specific market, if all other markets are in equilibrium, Walras' Law asserts that the examined market is also in equilibrium.
  2. Market Segmentation

    A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will respond similarly to a marketing action. Market segmentation enables companies to target different categories of consumers who perceive the full value of certain products and services differently from one another.
  3. Effective Annual Interest Rate

    An investment's annual rate of interest when compounding occurs more often than once a year. Calculated as the following:
  4. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option is purchased and the lower premium option is sold - both at the same time. The higher the debit spread, the greater the initial cash outflow the investor will incur on the transaction.
  5. Odious Debt

    Money borrowed by one country from another country and then misappropriated by national rulers. A nation's debt becomes odious debt when government leaders use borrowed funds in ways that don't benefit or even oppress citizens. Some legal scholars argue that successor governments should not be held accountable for odious debt incurred by earlier regimes, but there is no consensus on how odious debt should actually be treated.
  6. Takeover

    A corporate action where an acquiring company makes a bid for an acquiree. If the target company is publicly traded, the acquiring company will make an offer for the outstanding shares.
Trading Center