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The Economic Value Of Public Relations Expenditures: Food Safety And The Strawberry Case

  • Richards, Timothy J.
  • Patterson, Paul M.

Food safety has become an important issue affecting public health and grower profits. Outbreaks of foodborne illnesses are typically accompanied by press accounts of the incident and a decrease in demand. This study estimates the short- and long-run impacts of adverse and positive information delivered through print media on strawberry grower profits. Positive information may arise as apart of the promotional efforts of grower associations. It is found that adverse information reduces grower profits, but that positive information can partially offset their effects. It is suggested that grower groups could redirect funds used for promotion to food safety initiatives.

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File URL: http://purl.umn.edu/30804
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Article provided by Western Agricultural Economics Association in its journal Journal of Agricultural and Resource Economics.

Volume (Year): 24 (1999)
Issue (Month): 02 (December)
Pages:

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Handle: RePEc:ags:jlaare:30804
Contact details of provider: Web page: http://waeaonline.org/

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  1. Chalfant, James A, 1987. "A Globally Flexible, Almost Ideal Demand System," Journal of Business & Economic Statistics, American Statistical Association, vol. 5(2), pages 233-42, April.
  2. Hausman, Jerry A., 1983. "Specification and estimation of simultaneous equation models," Handbook of Econometrics, in: Z. Griliches† & M. D. Intriligator (ed.), Handbook of Econometrics, edition 1, volume 1, chapter 7, pages 391-448 Elsevier.
  3. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-26, June.
  4. Timothy J. Richards, 1999. "Dynamic Model of Fresh Fruit Promotion: A Household Production Approach," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 81(1), pages 195-211.
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