The Value and Cost of Restaurant Calorie Labels: Results from a Field Experiment
AbstractUsing field experiment data, we estimate a structural model of consumer demand to determine the value of information for restaurant menu labels. Our experimental design allows us to compare the effectiveness of calorie labels to a “fat tax” at reducing caloric intake. Results show numeric labels did not influence demand, but symbolic traffic light labels reduced the marginal utility of caloric intake. Our model projects both labels would reduce intake more than high-calorie taxes or low-calorie subsidies. Ultimately, traffic light calorie labels led to the largest reduction in caloric intake but also one of the largest reductions in restaurant net returns.
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Bibliographic InfoPaper provided by Agricultural and Applied Economics Association in its series 2012 AAEA/EAAE Food Environment Symposium, May 30-31, Boston, MA with number 123529.
Date of creation: 2012
Date of revision:
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More information through EDIRC
menu labeling; full-service restaurant; calorie taxes/subsidies; restaurant net returns; Food Consumption/Nutrition/Food Safety; I18; D04;
Find related papers by JEL classification:
- I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
- D04 - Microeconomics - - General - - - Microeconomic Policy: Formulation; Implementation; Evaluation
This paper has been announced in the following NEP Reports:
- NEP-AGR-2012-06-05 (Agricultural Economics)
- NEP-ALL-2012-06-05 (All new papers)
- NEP-EXP-2012-06-05 (Experimental Economics)
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