Advanced Search
MyIDEAS: Login

Eco-Labels for Credence Attributes: The Case of Shade-Grown Coffee

Contents:

Author Info

  • Bruce A. Larson
Registered author(s):

    Abstract

    Using the case of shade-grown coffee, this paper examines the market impacts of ?eco-labels? for credence attributes. First, the Mattoo and Singh (1994) test is conducted for the case of shade-grown coffee to investigate the market impacts of a shade label. This analysis in Section II shows that a shade label could ?pass? the test, but the market impacts are likely to be minor. Section II also shows how to use estimates of supply, potential demand, and price elasticities of demand and supply to predict eco-label premiums in the post-label equilibrium. And second, given the importance of consumer demands for eco-label impacts, and since the theoretical foundations of demand for eco-labeled items are not well developed in the literature, Section III takes a closer look at the microeconomics of labels and consumer demand. A nested constant-elasticity-of-substitution preference structure is used to derive theoretically consistent Marshallian demands for shade and non-shade coffee. A numerical simulation shows how relative prices and consumer preferences for the credence attribute and variety are both important factors in demand creation of labeled items.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://fmpc.uconn.edu/publications/rr/rr71.pdf
    Download Restriction: no

    Bibliographic Info

    Paper provided by University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy in its series Food Marketing Policy Center Research Reports with number 071.

    as in new window
    Length:
    Date of creation: 2002
    Date of revision:
    Handle: RePEc:zwi:fpcrep:071

    Contact details of provider:
    Postal: 1376 Storrs Road, U-21, Storrs, Connecticut 06269-4021
    Phone: 860-486-2836
    Fax: 860-486-1932
    Web page: http://www.zwickcenter.uconn.edu
    More information through EDIRC

    Related research

    Keywords: Environmental Economics and Policy; Marketing;

    References

    No references listed on IDEAS
    You can help add them by filling out this form.

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:zwi:fpcrep:071. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.