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The relationship between cottage food laws and business outcomes: A quantitative study of cottage food producers in the United States

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  • McDonald, Jennifer

Abstract

The increasing popularity of cottage foods in the United States requires that state laws regulating the industry be given careful consideration. However, little is known about cottage food producers or their businesses. This article discusses results from the first comprehensive survey of cottage food producers in the United States. Linear and logistic regression analyses of survey responses from 775 cottage food producers and aspects of state cottage food laws suggest restrictive state laws may hinder entrepreneurship in rural communities. These results suggest policymakers should consider reducing restrictions on the cottage food industry in order to promote small-business creation and growth, especially among women and rural populations.

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  • McDonald, Jennifer, 2019. "The relationship between cottage food laws and business outcomes: A quantitative study of cottage food producers in the United States," Food Policy, Elsevier, vol. 84(C), pages 21-34.
    • Handle: RePEc:eee:jfpoli:v:84:y:2019:i:c:p:21-34
    DOI: 10.1016/j.foodpol.2019.01.012
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    1. Jeffrey K. O'Hara & Nony Dutton & Nick Stavely, 2022. "The influence of farmers markets' characteristics on vendor sales," Agribusiness, John Wiley & Sons, Ltd., vol. 38(2), pages 295-311, April.
    2. Jeffrey K. O'Hara & Marcelo Castillo & Dawn Thilmany McFadden, 2021. "Do Cottage Food Laws Reduce Barriers to Entry for Food Manufacturers?," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(3), pages 935-951, September.

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