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Meat Traceability: Are U.S. Consumers Willing To Pay For It?

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David Dickinson
DeeVon Bailey

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Abstract

This article reports the results from a series of laboratory auction markets in which consumers bid on meat characteristics. The characteristics examined include meat traceability (i.e., the ability to trace the retail meat back to the farm or animal or origin), transparency (e.g., knowing that the meat was produced without growth hormones, or knowing the animal was humanely treated), and assurances (e.g., extra meat safety assurances). This laboratory study provides non-hypothetical bid data on U.S. consumer preferences for traceability, transparency, and assurances (TTA) in red meat at a time when the U.S. currently lags other countries in development of TTA meat systems. Our results suggest that U.S. consumers would be willing to pay for such TTA meat characteristics, and the magnitude of the consumer bids suggest a likely profitable market for development of U.S. TTA systems.

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File URL: ftp://repec.bus.usu.edu/RePEc/usu/pdf/ERI2002-07.pdf
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File Function: First version, 2002
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Publisher Info
Paper provided by Utah State University, Department of Economics in its series Working Papers with number 2002-07.

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Length: 18 pages
Date of creation: Apr 2002
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Handle: RePEc:usu:wpaper:2002-07

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Shogren, Jason & Fox, John & Hayes, Dermot & Roosen, Jutta, 2002. "Observed Choices For Food Safety in Retail, Survey and Auction Markets," Staff General Research Papers 5024, Iowa State University, Department of Economics.
  2. Shogren, Jason F. & Seung Y. Shin & Dermot J. Hayes & James B. Kliebenstein, 1994. "Resolving Differences in Willingness to Pay and Willingness to Accept," American Economic Review, American Economic Association, vol. 84(1), pages 255-70, March.
  3. repec:cup:cbooks:9780521855167 is not listed on IDEAS
  4. Lusk, Jayson L. & Fox, John A., 2002. "Consumer Demand For Mandatory Labeling Of Beef From Cattle Administered Growth Hormones Or Fed Genetically Modified Corn," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 34(01), April. [Downloadable!]
  5. Shogren, J. F. & Fox, J. A. & Hayes, Dermot & Kliebenstein, James, 2003. "Bid Sensitivity in the Structure of the Vickrey Auction," Staff General Research Papers 10616, Iowa State University, Department of Economics.
  6. Grannis, Jennifer & Hooker, Neal H. & Thilmany, Dawn, 2000. "Consumer Preference For Specific Attributes In Natural Beef Products," 2000 Annual Meeting, June 29-July 1, 2000, Vancouver, British Columbia 36406, Western Agricultural Economics Association. [Downloadable!]
  7. Hayes, Dermot J. & Shogren, Jason F. & Shin, Seung Youll & Kliebenstein, James B., 1995. "Valuing Food Safety in Experimental Auction Markets," Staff General Research Papers 835, Iowa State University, Department of Economics.
  8. Shogren, Jason F. & Margolis, Michael & Koo, Cannon & List, John A., 2001. "A random nth-price auction," Journal of Economic Behavior & Organization, Elsevier, vol. 46(4), pages 409-421, December. [Downloadable!] (restricted)
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