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Consumers'’ Preferences for GM Food and Voluntary Information Acquisition: A Simultaneous Choice Analysis

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Author Info
Veeman, Michele
Hu, Wuyang
Adamowicz, Wiktor
Abstract

Previous research studies directed at the influence of information on consumers’ preferences and choices of food in the context of genetically modified (GM) food assume that information is exogenous, in that this is provided to consumers from external sources. Information made available to consumers is also typically treated as being received and processed. Other literature and observation suggests that these two features tend not to apply in practice. Using data from a choice experiment on consumers’ choices for genetically modified food in which respondents were able to voluntarily access information, this study allows information to be endogenous; consumers’ product choices and information access decisions are examined within a simultaneous choice framework. We find that these two types of decisions are related, but not entirely as might be expected from the existing agricultural economics literature since those with more negative attitudes toward GM food were most likely to access information made available. Our results are consistent with research findings in the social psychology literature. There is heterogeneity across consumers in the relationship between information access and consumer choices which may reflect differentiation in attitudes to GM food.

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Paper provided by International Association of Agricultural Economists in its series 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia with number 25786.

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Date of creation: 2006
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Handle: RePEc:ags:iaae06:25786

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Related research
Keywords: Genetically modified food; information search; multinomial logit models; simultaneous modeling.; Food Consumption/Nutrition/Food Safety; Research and Development/Tech Change/Emerging Technologies; Q13; Q18; C8;

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  1. Amemiya, Takeshi, 1978. "The Estimation of a Simultaneous Equation Generalized Probit Model," Econometrica, Econometric Society, vol. 46(5), pages 1193-1205, September. [Downloadable!] (restricted)
  2. Jayson L. Lusk & Brian C. Briggeman, 2009. "Food Values," American Journal of Agricultural Economics, American Agricultural Economics Association, vol. 91(1), pages 184-196, 02. [Downloadable!] (restricted)
  3. Schmidt, Peter & Strauss, Robert P, 1975. "Estimation of Models with Jointly Dependent Qualitative Variables: A Simultaneous Logit Approach," Econometrica, Econometric Society, vol. 43(4), pages 745-55, July. [Downloadable!] (restricted)
  4. Heckman, James J, 1978. "Dummy Endogenous Variables in a Simultaneous Equation System," Econometrica, Econometric Society, vol. 46(4), pages 931-59, July. [Downloadable!] (restricted)
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  5. Noussair, Charles & Robin, Stephane & Ruffieux, Bernard, 2002. "Do consumers not care about biotech foods or do they just not read the labels?," Economics Letters, Elsevier, vol. 75(1), pages 47-53, March. [Downloadable!] (restricted)
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