IDEAS home Printed from https://ideas.repec.org/p/ags/aaea03/22129.html
   My bibliography  Save this paper

Consumer Response To Country-Of-Origin Labeling Program In The Context Of Heterogenous Preferences

Author

Listed:
  • Loureiro, Maria L.
  • Umberger, Wendy J.

Abstract

Consumer willingness to pay for a mandatory country-of-origin labeling program is assessed. A consumer survey was conducted during 2002 in several grocery stores in Boulder, Denver, and Fort Collins, Colorado. Econometric results indicate that surveyed consumers are willing to pay an average of $184 per household annually for a mandatory country-of-origin labeling program. Respondents were also willing to pay an average of $1.53 and $0.70 per pound more for steak and hamburger labeled as "U.S. Certified Steak" and "U.S. Certified Hamburger," which is equivalent to a 38% and 58%, respectively, over the initial given price.

Suggested Citation

  • Loureiro, Maria L. & Umberger, Wendy J., 2003. "Consumer Response To Country-Of-Origin Labeling Program In The Context Of Heterogenous Preferences," 2003 Annual meeting, July 27-30, Montreal, Canada 22129, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea03:22129
    DOI: 10.22004/ag.econ.22129
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/22129/files/sp03lo04.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.22129?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Schupp, Alvin R. & Gillespie, Jeffrey M., 2001. "Consumer Attitudes Toward Potential Country-Of-Origin Labeling Of Fresh Or Frozen Beef," Journal of Food Distribution Research, Food Distribution Research Society, vol. 32(3), pages 1-11, November.
    2. Maria Luz Loureiro & Jill J. McCluskey, 2000. "Assessing consumer response to protected geographical identification labeling," Agribusiness, John Wiley & Sons, Ltd., vol. 16(3), pages 309-320.
    3. W. Michael Hanemann, 1989. "Welfare Evaluations in Contingent Valuation Experiments with Discrete Response Data: Reply," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 71(4), pages 1057-1061.
    4. Schupp, Alvin & Gillespie, Jeffrey, 2001. "Handler Reactions to Potential Compulsory Country-of-Origin Labeling of Fresh or Frozen Beef," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 33(1), pages 161-171, April.
    5. Lusk, Jayson L., 2001. "Branded Beef: Is It "What's for Dinner?"," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 16(2), pages 1-4.
    6. Caswell, Julie A., 1998. "How Labeling of Safety and Process Attributes Affects Markets for Food," Agricultural and Resource Economics Review, Cambridge University Press, vol. 27(2), pages 151-158, October.
    7. Davidson, Russell & MacKinnon, James G., 1993. "Estimation and Inference in Econometrics," OUP Catalogue, Oxford University Press, number 9780195060119, Decembrie.
    8. Kwamena K. Quagrainie & James Unterschultz & Michele Veeman, 1998. "Effects of Product Origin and Selected Demographics on Consumer Choice of Red Meats," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 46(2), pages 201-219, July.
    9. Gary D. Thompson, 1998. "Consumer Demand for Organic Foods: What We Know and What We Need to Know," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(5), pages 1113-1118.
    10. Jayson L. Lusk & John A. Fox & Ted C. Schroeder & James Mintert & Mohammad Koohmaraie, 2001. "In-Store Valuation of Steak Tenderness," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 539-550.
    11. P. Frykblom & Jason Shogren, 2000. "An Experimental Testing of Anchoring Effects in Discrete Choice Questions," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 16(3), pages 329-341, July.
    12. Timothy Park & John B. Loomis & Michael Creel, 1991. "Confidence Intervals for Evaluating Benefits Estimates from Dichotomous Choice Contingent Valuation Studies," Land Economics, University of Wisconsin Press, vol. 67(1), pages 64-73.
    13. Justus Haucap & Christian Wey & Jens F. Barmbold, 1997. "Location Choice as a Signal for Product Quality: The Economics of 'Made in Germany'," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 153(3), pages 510-510, September.
    14. Chiang, Shih-Chen & Masson, Robert T, 1988. "Domestic Industrial Structure and Export Quality," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 29(2), pages 261-270, May.
    15. Rivers, Douglas & Vuong, Quang H., 1988. "Limited information estimators and exogeneity tests for simultaneous probit models," Journal of Econometrics, Elsevier, vol. 39(3), pages 347-366, November.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Henseleit, Meike & Kubitzki, Sabine & Teuber, Ramona, 2007. "Determinants of Consumer Preferences for Regional Food," 105th Seminar, March 8-10, 2007, Bologna, Italy 7871, European Association of Agricultural Economists.
    2. Sterns, James A. & House, Lisa & VanSickle, John J. & Wysocki, Allen F., 2004. "Cool And Consumers' Willingness To Pay In The Fresh Produce Industry - Some Initial Impressions From The Field," 2004 Annual Meeting, February 14-18, 2004, Tulsa, Oklahoma 34780, Southern Agricultural Economics Association.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Loureiro, Maria L. & Umberger, Wendy J., 2003. "Estimating Consumer Willingness to Pay for Country-of-Origin Labeling," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 28(2), pages 1-15, August.
    2. Loureiro, Maria L. & Umberger, Wendy J., 2002. "Estimating Consumer Willingness-To-Pay For Country Of-Origin-Labels For Beef Products," 2002 Annual meeting, July 28-31, Long Beach, CA 19745, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. Umberger, Wendy J. & Feuz, Dillon M. & Calkins, Chris R. & Sitz, Bethany M., 2003. "Country-Of-Origin Labeling Of Beef Products: U.S. Consumers' Perceptions," Journal of Food Distribution Research, Food Distribution Research Society, vol. 34(3), pages 1-14, November.
    4. Loureiro, Maria L. & Umberger, Wendy J., 2007. "A choice experiment model for beef: What US consumer responses tell us about relative preferences for food safety, country-of-origin labeling and traceability," Food Policy, Elsevier, vol. 32(4), pages 496-514, August.
    5. Loureiro, Maria L. & Umberger, Wendy J., 2005. "Assessing Consumer Preferences for Country-of-Origin Labeling," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 37(1), pages 1-14, April.
    6. Loureiro, Maria L. & Umberger, Wendy J., 2004. "A Choice Experiment Model For Beef Attributes: What Consumer Preferences Tell Us," 2004 Annual meeting, August 1-4, Denver, CO 19931, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    7. Yeboah, Osei & Naanwaab, Cephas B. & Antwi, Johnson, 2015. "Estimating the Consumer Expenditure under COOL," 2015 Annual Meeting, January 31-February 3, 2015, Atlanta, Georgia 196851, Southern Agricultural Economics Association.
    8. Ward, Clement E. & Lusk, Jayson L. & Dutton, Jennifer M., 2008. "Implicit Value of Retail Beef Product Attributes," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 33(3), pages 1-18.
    9. Melanie Lefevre, 2011. "Willingness-to-pay for Local Milk-based Dairy Product in Senegal," CREPP Working Papers 1108, Centre de Recherche en Economie Publique et de la Population (CREPP) (Research Center on Public and Population Economics) HEC-Management School, University of Liège.
    10. Schulz, Lee L. & Schroeder, Ted C. & White, Katharine L., 2012. "Value of Beef Steak Branding: Hedonic Analysis of Retail Scanner Data," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 41(2), pages 1-14, August.
    11. Michael Ahlheim & Oliver Frör & Antonia Heinke & Alwin Keil & Nguyen Minh Duc & Pham Van Dinh & Camille Saint-Macary & Manfred Zeller, 2008. "Landslides in mountainous regions of Northern Vietnam: Causes, protection strategies and the assessment of economic losses," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim 298/2008, Department of Economics, University of Hohenheim, Germany.
    12. Irz, Xavier & Mazzocchi, Mario & Réquillart, Vincent & Soler, Louis-Georges, 2015. "Research in Food Economics: past trends and new challenges," Revue d'Etudes en Agriculture et Environnement, Editions NecPlus, vol. 96(01), pages 187-237, March.
    13. Martinez, Stephen W. & Hanagriff, Roger D. & Smith, Kevin E., 2006. "Strategic Alliances in U.S. Branded Beef Programs," 2006 Annual Meeting, February 5-8, 2006, Orlando, Florida 35399, Southern Agricultural Economics Association.
    14. Doko Tchatoka, Firmin & Dufour, Jean-Marie, 2020. "Exogeneity tests, incomplete models, weak identification and non-Gaussian distributions: Invariance and finite-sample distributional theory," Journal of Econometrics, Elsevier, vol. 218(2), pages 390-418.
    15. Catherine M.H. Keske & Greta Lohman & John B. Loomis, 2013. "Do Respondents Report Willingness-to-Pay on a per Person or per Group Basis? A High Mountain Recreation Example," Tourism Economics, , vol. 19(1), pages 133-145, February.
    16. Loomis, John B. & Ekstrand, Earl, 1997. "Economic Benefits Of Critical Habitat For The Mexican Spotted Owl: A Scope Test Using A Multiple-Bounded Contingent Valuation Survey," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 22(2), pages 1-11, December.
    17. Guilhem Bascle, 2008. "Controlling for endogeneity with instrumental variables in strategic management research," Post-Print hal-00576795, HAL.
    18. Jarke-Neuert, Johannes & Perino, Grischa & Schwickert, Henrike, 2021. "Free-Riding for Future: Field Experimental Evidence of Strategic Substitutability in Climate Protest," SocArXiv sh6dm, Center for Open Science.
    19. Poe, Gregory L. & Bishop, Richard C., 1992. "Measuring the Benefits of Groundwater Protection from Agricultural Contamination: Results from a Two-Stage Contingent Valuation Study," Staff Papers 200549, University of Wisconsin-Madison, Department of Agricultural and Applied Economics.
    20. Tilman Brück, 2004. "The Welfare Effects of Farm Household Activity Choices in Post-War Mozambique," HiCN Working Papers 04, Households in Conflict Network.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aaea03:22129. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aaeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.