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Health Information Availability and the Consumption of Eggs: Are Consumers Bayesians?

  • Chang, Hung-Hao
  • Just, David R.

This study uses a generalized Bayesian updating model to estimate the impact of health information appearing in the popular media on the consumption of eggs. The framework permits us to explore the possible effects of several known psychological biases in learning. Generalized Bayesian learning allows media publications to have a decaying effect on behavior. Our primary finding is that health information has a significant impact on U.S. egg consumption. Furthermore, the reaction to health information is found to be temporary. Health information will, on average, decay to a point of unimportance in a matter of a few weeks without a constant and consistent stream of confirming information.

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File URL: http://purl.umn.edu/8602
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Article provided by Western Agricultural Economics Association in its journal Journal of Agricultural and Resource Economics.

Volume (Year): 32 (2007)
Issue (Month): 01 (April)
Pages:

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Handle: RePEc:ags:jlaare:8602
Contact details of provider: Web page: http://waeaonline.org/

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  1. Capps, Oral, Jr. & Schmitz, John D., 1991. "A Recognition Of Health And Nutrition Factors In Food Demand Analysis," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 16(01), July.
  2. Grether, David M., . "Bayes Rule as a Descriptive Model: The Representativeness Heuristic," Working Papers 245, California Institute of Technology, Division of the Humanities and Social Sciences.
  3. Rabin, Matthew, 2002. "A perspective on psychology and economics," European Economic Review, Elsevier, vol. 46(4-5), pages 657-685, May.
  4. Kyrre Rickertsen & Dadi Kristofersson & Solveig Lothe, 2003. "Effects of health information on Nordic meat and fish demand," Empirical Economics, Springer, vol. 28(2), pages 249-273, 04.
  5. Boetel, Brenda L. & Liu, Donald J., 2002. "Disentangling The Effects Of Generic Advertisement From Health Information Within A Meat Demand System," 2002 Annual meeting, July 28-31, Long Beach, CA 19813, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  6. Chern, Wen S & Loehman, Edna T & Yen, Steven T, 1995. "Information, Health Risk Beliefs, and the Demand for Fats and Oils," The Review of Economics and Statistics, MIT Press, vol. 77(3), pages 555-64, August.
  7. Kinnucan, Henry W. & Chang, Hui-Shung (Christie) & Venkateswaran, Meenakshi, 1993. "Generic Advertising Wearout," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 61(03), December.
  8. Schmit, Todd M. & Kaiser, Harry M., 1998. "Egg Advertising, Dietary Cholesterol Concerns, And U.S. Consumer Demand," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 27(1), April.
  9. John D. Jackson, 1997. "Effects of Health Information and Generic Advertising on U.S. Meat Demand," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(1), pages 13-23.
  10. McGuirk, Anya M. & Driscoll, Paul J. & Alwang, Jeffrey Roger & Huang, Huilin, 1995. "System Misspecification Testing And Structural Change In The Demand For Meats," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 20(01), July.
  11. Asp, Elaine H., 1999. "Factors affecting food decisions made by individual consumers," Food Policy, Elsevier, vol. 24(2-3), pages 287-294, May.
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