Consumers' Resistance to Genetically Modified Foods: The Role of Information in an Uncertain Environment
AbstractGenetically modified (GM) foods have been engulfed in considerable controversy, and the early optimism has been dampened. Information issues--labeling and asymmetric information--are central to the GM-food debate. Furthermore, it is important to understand the reaction in developed countries to GM-foods because they set the tone of the world market in grains, oilseeds, and animal products. New results are reported from a statistical analysis of the market characteristics that push consumers in a high-income country to resist GM foods, with an emphasis on negative information from environmental groups and third-party, verifiable information, which could neutralize private information distributed by interested parties. A unique sample of adult consumers participated in laboratory auctions of three food products with randomized labeling and information treatments. A key finding is that GM information supplied by environmental groups increases the probability that consumers are out of the market for GM-foods. Third-party verifiable information, however, dissipates most of the negative effect of the environmental group perspective. Selective adoption of GM crops seems likely to raise world welfare but Western Europe's banning of GM imports and technology will largely affect them negatively.
Download InfoTo our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
Bibliographic InfoPaper provided by Iowa State University, Department of Economics in its series Staff General Research Papers with number 12339.
Date of creation: 01 Jan 2004
Date of revision:
Publication status: Published in Journal of Agricultural & Food Industrial Organization 2004, vol. 2, Article 8, pp. 1-13
Contact details of provider:
Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070
Phone: +1 515.294.6741
Fax: +1 515.294.0221
Web page: http://www.econ.iastate.edu
More information through EDIRC
Other versions of this item:
- Huffman Wallace E. & Rousu Matthew & Shogren Jason F & Tegene Abebayehu, 2004. "Consumer's Resistance to Genetically Modified Foods: The Role of Information in an Uncertain Environment," Journal of Agricultural & Food Industrial Organization, De Gruyter, vol. 2(2), pages 1-15, May.
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Dhar, Tirtha Pratim & Foltz, Jeremy D., 2004. "Is Soy Milk? The Economics Of The Soy Milk Market," 2004 Annual meeting, August 1-4, Denver, CO 20337, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
- Bharat Ramaswami & Sangeeta Bansal & Sujoy Chakravarty, 2013.
"The Informational and signaling impacts of labels: Experimental evidence from India on GM foods,"
Indian Statistical Institute, Planning Unit, New Delhi Discussion Papers
13-01, Indian Statistical Institute, New Delhi, India.
- Bansal, Sangeeta & Chakravarty, Sujoy & Ramaswami, Bharat, 2013. "The informational and signaling impacts of labels: experimental evidence from India on GM foods," Environment and Development Economics, Cambridge University Press, vol. 18(06), pages 701-722, December.
- Liu, Pengcheng & Huang, Chung-Huang & Feng, Zhongchao & Zhou, Deyi, 2009. "Consumer’s choice on GM labeling: evidences from China," 2009 Conference, August 16-22, 2009, Beijing, China 51807, International Association of Agricultural Economists.
- Dhar, Tirtha Pratim & Foltz, Jeremy D., 2003. "Market Structure And Consumer Valuation In The Rbst-Free And Organic Milk Markets," 2003 Annual meeting, July 27-30, Montreal, Canada 22177, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
- Onyango, Benjamin M. & Nayga, Rodolfo M., Jr. & Govindasamy, Ramu, 2005. "U.S. Consumers' Willingness to Pay for Labeling Information on Genetically Modified Foods: An Application of Choice Modeling," 2005 Annual meeting, July 24-27, Providence, RI 19490, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Stephanie Bridges) The email address of this maintainer does not seem to be valid anymore. Please ask Stephanie Bridges to update the entry or send us the correct address.
If references are entirely missing, you can add them using this form.