Understanding the determinants of consumersf willingness to pay for eco-labeled products: An empirical analysis of the China Environmental Label
AbstractThis study applies data from a web-based survey conducted in mainland China to examine the determinants of consumersf willingness to pay (WTP) for seven different product categories awarded with China Environmental Label and compare the mean WTP estimates among these categories. The Interval Regression method is used for estimation. The results indicate that Chinese consumers who regard environmental conservation as being more important than life convenience, who believe purchasing the eco-labeled products is good for the environment, and who have the experience in purchasing eco-labeled products are willing to pay more for those products with environmental label or eco-label. In addition, socio-demographic characteristics such as gender, age, education and household income are found to be important factors to affect Chinese consumersf WTP amounts. Finally, the results of pair-wise comparison among the mean WTP estimates of various eco-labeled products indicate that most of them are different, which implies that the degrees of Chinese consumersf willingness to pay extra money for China Environmental Label are different based on the types of products.
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Bibliographic InfoPaper provided by Osaka School of International Public Policy, Osaka University in its series OSIPP Discussion Paper with number 08E001.
Length: 21 pages
Date of creation: Jan 2008
Date of revision:
China Environmental Label; Eco-labeled products; Interval regression; Payment card; Willingness to pay;
Find related papers by JEL classification:
- D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
- Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy
- Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
This paper has been announced in the following NEP Reports:
- NEP-AGR-2008-01-19 (Agricultural Economics)
- NEP-ALL-2008-01-19 (All new papers)
- NEP-CNA-2008-01-19 (China)
- NEP-ENV-2008-01-19 (Environmental Economics)
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