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Traffic Lights and Food Choice: A Choice Experiment Examining the Relationship Between Nutritional Food Labels and Price

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Author Info
Kelvin Balcombe
Iain Fraser ()
Salvatore Di Falco ()

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Abstract

In this paper we investigate how consumers respond to the UK food label Traffic Light System (TLS). Employing a Choice Experiment (CE) we find that consumers appear to behave in a manner consistent with our expectations regarding the impact of the TLS nutrition label. In particular, we identify a strong preference on the part of respondents to avoid a basket of goods containing a mix of foods with any "Red" lights. We have also found that consumers have a hierarchy of importance in terms of perception of the various nutrients examined and clear behavioural differences associated with particular socio-economic characteristics confirming early research on the use of nutrition labels. Overall our results indicate significant heterogeneity in the attitudes and responses of consumers to food labels within and across socioeconomic strata in terms of the magnitude of WTP.

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File URL: ftp://ftp.ukc.ac.uk/pub/ejr/RePEc/ukc/ukcedp/0915.pdf
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Publisher Info
Paper provided by Department of Economics, University of Kent in its series Studies in Economics with number 0915.

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Date of creation: Oct 2009
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Handle: RePEc:ukc:ukcedp:0915

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Postal: Department of Economics, University of Kent at Canterbury, Canterbury, Kent, CT2 7NP
Phone: +44 (0)1227 764000
Fax: +44 (0)1227 827850
Web page: http://www.ukc.ac.uk/economics/

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Related research
Keywords: Nutrients; Traffic Light System; Choice Experiment; Bayesian Mixed Logit;

Find related papers by JEL classification:
C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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This page was last updated on 2009-12-1.


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