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The Effects of Advertising on the Demand for Vegetables

Author

Listed:
  • Rickertsen, Kyrre
  • Chalfant, James A
  • Steen, Marie

Abstract

The effects of advertising are examined in a dynamic almost ideal demand system, applied to weekly demands for six fresh-vegetable groups in Norway. A number of restrictions regarding dynamics, advertising, homogeneity, symmetry and seasonality are tested. The static almost ideal demand system is rejected. The estimated own-price elasticities are negative, of reasonable magnitudes, statistically significant, and relatively more elastic in the long run than the short run. The results show no significant positive effects of advertising on vegetable consumption. Copyright 1995 by Oxford University Press.

Suggested Citation

  • Rickertsen, Kyrre & Chalfant, James A & Steen, Marie, 1995. "The Effects of Advertising on the Demand for Vegetables," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 22(4), pages 481-494.
  • Handle: RePEc:oup:erevae:v:22:y:1995:i:4:p:481-94
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    Cited by:

    1. Rieger, Jorg & Kuhlgatz, Christian, 2015. "Analyzing Consumer Demand During a Food Scandal: The Case of Dioxin Contaminated Feed in Germany and the Media," 2015 Conference, August 9-14, 2015, Milan, Italy 212292, International Association of Agricultural Economists.
    2. Smed, Sinne & Jensen, Jorgen Dejgaard, 2002. "Food Safety Information and Food Demand Effects of Temporary and Permanent News," 2002 International Congress, August 28-31, 2002, Zaragoza, Spain 24811, European Association of Agricultural Economists.
    3. Verbeke, Wim & Ward, Ronald W., 2001. "A fresh meat almost ideal demand system incorporating negative TV press and advertising impact," Agricultural Economics, Blackwell, vol. 25(2-3), pages 359-374, September.
    4. Laura Andersen & Sinne Smed, 2013. "What is it consumers really want, and how can their preferences be influenced? The case of fat in milk," Empirical Economics, Springer, vol. 45(1), pages 323-347, August.
    5. Andersen, Laura M. & Smed, Sinne, 2010. "What Is It Consumers Really Want And Why? The Case Of Fat In Milk," 115th Joint EAAE/AAEA Seminar, September 15-17, 2010, Freising-Weihenstephan, Germany 116455, European Association of Agricultural Economists;Agricultural and Applied Economics Association.
    6. Alfons Oude Lansink, 2001. "Long and Short Term Economies of Scope in Dutch Vegetable Production," Journal of Agricultural Economics, Wiley Blackwell, vol. 52(1), pages 123-138.
    7. Ekman, Sone & Andersson, Hans, 1998. "The economics of on-farm processing: model development and an empirical analysis," Agricultural Economics, Blackwell, vol. 18(2), pages 177-189, March.
    8. Rickertsen, Kyrre, 1998. "The demand for food and beverages in Norway," Agricultural Economics, Blackwell, vol. 18(1), pages 89-100, January.
    9. M.-J.J. Mangen & A.M. Burrell, 2001. "Decomposing Preference Shifts for Meat and Fish in the Netherlands," Journal of Agricultural Economics, Wiley Blackwell, vol. 52(2), pages 16-28.
    10. Cardwell, Ryan T., 2004. "Is The Efficacy Of Agricultural Promotion Programs Overestimated? The Importance Of Dynamics In Advertising Demand Systems," 2004 Annual meeting, August 1-4, Denver, CO 19949, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    11. Lariviere, Eric & Larue, Bruno & Chalfant, Jim, 2000. "Modeling the demand for alcoholic beverages and advertising specifications," Agricultural Economics, Blackwell, vol. 22(2), pages 147-162, March.
    12. Ekman, Sone & Andersson, Hans, 1998. "The economics of on-farm processing: model development and an empirical analysis," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 18(2), March.
    13. Gustavsen, Geir Waehler & Rickertsen, Kyrre, 2004. "For Whom Reduced Prices Count: A Censored Quantile Regression Analysis Of Vegetable Demand," 2004 Annual meeting, August 1-4, Denver, CO 20172, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    14. Rickersten, Kyrre, 1998. "The demand for food and beverages in Norway," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 18(1), January.
    15. Okrent, Abigail M. & MacEwan, Joanna P., 0. "The Effects of Prices, Advertising, Expenditures, and Demographics on Demand for Nonalcoholic Beverages," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association.
    16. Okrent, Abigail M. & MacEwan, Joanna P., 2014. "The Effects of Prices, Advertising, Expenditures, and Demographics on Demand for Nonalcoholic Beverages," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 43(1), April.
    17. Lariviere, Eric & Larue, Bruno & Chalfant, Jim, 2000. "Modeling the demand for alcoholic beverages and advertising specifications," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 22(2), March.

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