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Food Product Recalls, Agbiotech And Consumer Response: The Case Of Starlink

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Author Info

  • Vickner, Steven S.
  • Marks, Leonie A.
  • Kalaitzandonakes, Nicholas G.

Abstract

Using a conditional nonlinear AIDS model and three years of syndicated, national-level weekly point-of-purchase scanner data, we empirically estimate the consumer response to the Starlink recall while controlling for relative prices, per capita real expenditure, holidays, post-recall demand trends and the media. In the salted snacks product category, acute media coverage reduced the expenditure share for the recalled products and those shares nearly recovered 12 months post-recall. Expenditure shares in the chili seasonings product category were unaffected by the recall and media coverage.

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File URL: http://purl.umn.edu/22050
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Bibliographic Info

Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2003 Annual meeting, July 27-30, Montreal, Canada with number 22050.

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Date of creation: 2003
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Handle: RePEc:ags:aaea03:22050

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Keywords: Food Consumption/Nutrition/Food Safety;

References

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  1. Nicholas Kalaitzandonakes & Richard Maltsbarger & James Barnes, 2001. "Global Identity Preservation Costs in Agricultural Supply Chains," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 49(4), pages 605-615, December.
  2. Teisl, Mario F. & Roe, Brian & Hicks, Robert L., 2002. "Can Eco-Labels Tune a Market? Evidence from Dolphin-Safe Labeling," Journal of Environmental Economics and Management, Elsevier, vol. 43(3), pages 339-359, May.
  3. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-26, June.
  4. David G. Swartz & Ivar E. Strand, Jr., 1981. "Avoidance Costs Associated with Imperfect Information: The Case of Kepone," Land Economics, University of Wisconsin Press, vol. 57(2), pages 139-150.
  5. Alston, Julian M & Foster, Kenneth A & Green, Richard D, 1994. "Estimating Elasticities with the Linear Approximate Almost Ideal Demand System: Some Monte Carlo Results," The Review of Economics and Statistics, MIT Press, vol. 76(2), pages 351-56, May.
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Cited by:
  1. Bakhtavoryan, Rafael & Capps, Oral, Jr. & Salin, Victoria, 2012. "Impact Of Food Contamination On Brands: A Demand Systems Estimation Of Peanut Butter," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 123755, Agricultural and Applied Economics Association.

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