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The state and consumer confidence in eco-labeling: organic labeling in Denmark, Sweden, The United Kingdom and The United States

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  • Kim Sønderskov

    ()

  • Carsten Daugbjerg

Abstract

Trustworthy eco-labels provide consumers with valuable information on environmentally friendly products and thus promote green consumerism. But what makes an eco-label trustworthy and what can government do to increase consumer confidence? The scant existing literature indicates that low governmental involvement increases confidence. This suggests that government should just provide the basic legal framework for eco-labeling and leave the rest to non-governmental organizations. However, the empirical underpinning of this conclusion is insufficient. This paper analyses consumer confidence in different organic food labeling regimes with varying degrees of governmental involvement. Using unique and detailed survey data from the US, United Kingdom, Denmark, and Sweden, the analysis shows that confidence is highest in countries with substantial state involvement. This suggests that governments can increase green consumerism through active and substantial involvement in eco-labeling. Copyright Springer Science+Business Media B.V. 2011

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File URL: http://hdl.handle.net/10.1007/s10460-010-9295-5
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Bibliographic Info

Article provided by Springer in its journal Agriculture and Human Values.

Volume (Year): 28 (2011)
Issue (Month): 4 (December)
Pages: 507-517

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Handle: RePEc:spr:agrhuv:v:28:y:2011:i:4:p:507-517

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Web page: http://www.springer.com/economics/journal/10460

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Related research

Keywords: Eco-labeling; Consumer confidence; Organic food; Ordered logistic regression;

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  1. Akerlof, George A, 1970. "The Market for 'Lemons': Quality Uncertainty and the Market Mechanism," The Quarterly Journal of Economics, MIT Press, vol. 84(3), pages 488-500, August.
  2. Julie A. Caswell & Eliza M. Mojduszka, 1996. "Using Informational Labeling to Influence the Market for Quality in Food Products," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(5), pages 1248-1253.
  3. Norah Mackendrick, 2005. "The role of the state in voluntary environmental reform: A case study of public land," Policy Sciences, Springer, vol. 38(1), pages 21-44, March.
  4. Ward, Ruby A. & Hunnicutt, Lynn & Keith, John E., 2004. "If You Can't Trust the Farmer, Who Can You Trust? The Effect of Certification Types on Purchases of Organic Produce," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IAMA), vol. 7(01).
  5. John Hudson, 2006. "Institutional Trust and Subjective Well-Being across the EU," Kyklos, Wiley Blackwell, vol. 59(1), pages 43-62, 02.
  6. Luanne Lohr, 1998. "Implications of Organic Certification for Market Structure and Trade," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(5), pages 1125-1129.
  7. Andrew Jordan & Rüdiger K. W. Wurzel & Anthony Zito, 2005. "The Rise of 'New' Policy Instruments in Comparative Perspective: Has Governance Eclipsed Government?," Political Studies, Political Studies Association, vol. 53, pages 477-496, October.
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