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Quantity and quality effects of advertising: a demand system approach

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  • Diansheng Dong
  • Harry M. Kaiser
  • Øystein Myrland

Abstract

Quantity and quality effects of advertising are investigated in this article. A censored demand system is estimated for fish, beef, pork, and other meats using Norwegian household data. In the demand model, generic fish advertising and meat advertising is introduced as demand shifters, and at the same time unit values are treated as endogenous. The unit values capture the quality of the commodities. Empirical findings show that advertising can have both quantity and quality effects on household demand.

Suggested Citation

  • Diansheng Dong & Harry M. Kaiser & Øystein Myrland, 2007. "Quantity and quality effects of advertising: a demand system approach," Agricultural Economics, International Association of Agricultural Economists, vol. 36(3), pages 313-324, May.
    • Handle: RePEc:bla:agecon:v:36:y:2007:i:3:p:313-324
    DOI: 10.1111/j.1574-0862.2007.00209.x
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    Cited by:

    1. Vasiliki Fourmouzi & Margarita Genius & Peter Midmore, 2012. "The Demand for Organic and Conventional Produce in London, UK: A System Approach," Journal of Agricultural Economics, Wiley Blackwell, vol. 63(3), pages 677-693, September.
    2. Ou Yang & Peter Sivey & Andrea M. de Silva & Anthony Scott, 2016. "Preschool Children’s Demand for Sugar Sweetened Beverages: Evidence from Stated-Preference Panel Data," Melbourne Institute Working Paper Series wp2016n25, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    3. Yen, Steven T. & Lin, Biing-Hwan & Davis, Christopher G., 2008. "Consumer knowledge and meat consumption at home and away from home," Food Policy, Elsevier, vol. 33(6), pages 631-639, December.
    4. Dong, Diansheng & Zheng, Yuqing & Stewart, Hayden, 2018. "Food Sales Taxes on Household Food Spending: Application of a Censored Cluster Model," 2018 Annual Meeting, August 5-7, Washington, D.C. 273829, Agricultural and Applied Economics Association.
    5. Lin, Biing-Hwan & Dong, Diansheng & Carlson, Andrea & Rahkovsky, Ilya, 2017. "Potential dietary outcomes of changing relative prices of healthy and less healthy foods: The case of ready-to-eat breakfast cereals," Food Policy, Elsevier, vol. 68(C), pages 77-88.

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