The Effect Of Food-Safety Related Information On Consumer Preference: The Case Of The Bse Outbreak In Japan
AbstractThis paper uses a nonparametric approach for testing whether there is a structural change in the meat demand of Japanese consumers due to the BSE (mad-cow disease) outbreak in the country. The axiom of revealed preference is utilized to test the stability of preference in Japanese meat consumption. The matrix of weak form of revealed preference (WARP) is partitioned and Kruskal-Wallis statistics are derived to evaluate whether the switches of preference are transitory or due to a structural change. Empirical results show that Japanese meat demand is currently unstable and has undergone a structural change, synchronized with the BSE outbreak in Japan in mid-September 2001.
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Bibliographic InfoPaper provided by North Dakota State University, Department of Agribusiness and Applied Economics in its series Agribusiness & Applied Economics Report with number 23636.
Date of creation: 2003
Date of revision:
BSE (Mad-Cow Disease); the Revealed Preference Test; WARP; structural change; Food Consumption/Nutrition/Food Safety;
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