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Do U.S. food processors respond to sweetener-related health information?

Author

Listed:
  • Getu Hailu

    (Department of Food, Agricultural and Resource Economics, University of Guelph, Guelph, Ontario, Canada)

  • John Cranfield

    (Department of Food, Agricultural and Resource Economics, University of Guelph, Guelph, Ontario, Canada)

  • Rawlin Thangaraj

    (Cargill AgHorizons, Clavet, Saskatchewan, Canada)

Abstract

This study examines the differential effects of relative prices and sweetener-related health information on the substitutability between sweeteners in the U.S. food processing sector. Results suggest that cane and corn sugar are gross complements, Allen complements, but Morishima substitutes. Furthermore, the Morishima elasticity of substitution (MES) is more responsive to changes in relative prices than to changes in health information. In addition, the MES for cane- and corn-based sweeteners is more responsive to health information from popular media sources than scientific and medical publications. [EconLit citations: D240, I180, Q110]. © 2010 Wiley Periodicals, Inc.

Suggested Citation

  • Getu Hailu & John Cranfield & Rawlin Thangaraj, 2010. "Do U.S. food processors respond to sweetener-related health information?," Agribusiness, John Wiley & Sons, Ltd., vol. 26(3), pages 348-368.
    • Handle: RePEc:wly:agribz:v:26:y:2010:i:3:p:348-368
    DOI: 10.1002/agr.20255
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