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The Price Premium for Organic Babyfood: A Hedonic Analysis

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Author Info

  • Maguire, Kelly B.
  • Owens, Nicole N.
  • Simon, Nathalie B.

Abstract

The price premium associated with organic babyfood is estimated by applying a hedonic model to price and characteristic data for babyfood products collected in two cities: Raleigh, North Carolina, and San Jose, California. The price per ounce of babyfood is modeled as a function of a number of babyfood and store characteristics. The estimated organic price premium is generally equal to 3 cents to 4 cents per ounce. To the extent this premium reflects consumer willingness to pay to reduce pesticide exposures, it could be used to infer values for reduced dietary exposures to pesticide residues for babies.

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File URL: http://purl.umn.edu/31144
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Bibliographic Info

Article provided by Western Agricultural Economics Association in its journal Journal of Agricultural and Resource Economics.

Volume (Year): 29 (2004)
Issue (Month): 01 (April)
Pages:

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Handle: RePEc:ags:jlaare:31144

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Web page: http://waeaonline.org/
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Related research

Keywords: babyfood; hedonic analysis; organic foods; Demand and Price Analysis;

References

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  1. Feenstra, R.C., 1995. "Exact Hedonic Price Indexes," Department of Economics 95-11, California Davis - Department of Economics.
  2. Nimon, Wesley & Beghin, John C., 1999. "Are Eco-Labels Valuable? Evidence from the Apparel Industry," Staff General Research Papers 1514, Iowa State University, Department of Economics.
  3. Tsu-Tan Fu & Jin-Tan Liu & James K. Hammitt, 1999. "Consumer Willingness to Pay for Low-Pesticide Fresh Produce in Taiwan," Journal of Agricultural Economics, Wiley Blackwell, vol. 50(2), pages 220-233.
  4. Thompson, Gary D. & Glaser, Lewrene K., 2001. "National Demand For Organic And Conventional Baby Food," 2001 Annual Meeting, July 8-11, 2001, Logan, Utah 36139, Western Agricultural Economics Association.
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Citations

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Cited by:
  1. Connolly, Cristina & Klaiber, H. Allen, 2012. "Are Consumers Willing to Pay for Organic When the Food is Already Local?," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124364, Agricultural and Applied Economics Association.
  2. Kolodinsky, Jane, 2008. "Affect or information? Labeling policy and consumer valuation of rBST free and organic characteristics of milk," Food Policy, Elsevier, vol. 33(6), pages 616-623, December.
  3. Smith, Travis A. & Huang, Chung L. & Lin, Biing-Hwan, 2009. "How Much are Consumers Paying for Organic Baby Food?," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46748, Southern Agricultural Economics Association.
  4. Muth, Mary K. & Zhen, Chen & Taylor, Justin & Cates, Sheryl & Kosa, Katherine M. & Zorn, David & Choiniere, Conrad J., 2009. "The Value to Consumers of Health Labeling Statements on Breakfast Foods and Cereals," 2009 Conference, August 16-22, 2009, Beijing, China 50333, International Association of Agricultural Economists.
  5. Wachenheim, Cheryl J. & Nganje, William E. & Kaitibie, Simeon & Johnston, Gretchen, 2005. "Consumer Willingness to Pay for Breads Marketed as "Low-Carbohydrate"," 2005 Annual meeting, July 24-27, Providence, RI 19428, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  6. Fuerst, Franz & McAllister, Pat, 2011. "Eco-labeling in commercial office markets: Do LEED and Energy Star offices obtain multiple premiums?," Ecological Economics, Elsevier, vol. 70(6), pages 1220-1230, April.
  7. Cameron, Trudy Ann & DeShazo, J.R. & Johnson, Erica H., 2010. "The effect of children on adult demands for health-risk reductions," Journal of Health Economics, Elsevier, vol. 29(3), pages 364-376, May.
  8. Smith, Travis A. & Lin, Biing-Hwan & Huang, Chung L., 2008. "Organic Premiums of U.S. Fresh Produce," 2008 Conference, April 21-22, 2008, St. Louis, Missouri 37626, NCCC-134 Conference on Applied Commodity Price Analysis, Forecasting, and Market Risk Management.
  9. Michaud, C. & Llerena, D. & Joly, I., 2012. "Willingness to pay for environmental attributes of non-food agricultural products: a real choice experiment," Working Papers 201201, Grenoble Applied Economics Laboratory (GAEL).
  10. Brouhle, Keith & Khanna, Madhu, 2005. "Determinants of Participation versus Consumption in the Nordic Swan Eco-labeled Market," 2005 Annual meeting, July 24-27, Providence, RI 19443, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  11. Kristine M. Grimsrud & Robert P. Berrens & Ron C. Mittelhammer, 2006. "A Mixture Model of Consumers' Intended Purchase Decisions for Genetically Modified Foods," Economics Bulletin, AccessEcon, vol. 3(23), pages 1-11.
  12. Huang, Chung L. & Lin, Biing-Hwan, 2006. "A Hedonic Analysis on the Implicit Values of Fresh Tomatoes," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25404, International Association of Agricultural Economists.
  13. repec:ebl:ecbull:v:3:y:2006:i:23:p:1-11 is not listed on IDEAS

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