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The demand impacts of chicken contamination publicity-a case study

Listed author(s):
  • Roger A. Dahlgran

    (Department of Agricultural and Resource Economics, University of Arizona, Tucson, Arizona 85721-0023)

  • Dean G. Fairchild

    (Department of Agricultural and Resource Economics, University of Arizona, Tucson, Arizona 85721-0023)

Registered author(s):

    Adverse publicity regarding food contamination can depress demand, causing lost producer revenue. This study addresses the magnitude of those losses through the analysis of the impact of TV and print news coverage of bacterial contamination of chicken in the United States. An inverse demand model for chicken is estimated using weekly data from 1982 through 1991. Our findings indicate adverse publicity about salmonella contamination of chicken depressed the demand for chicken, but that the effect was small, less than 1% during the period of maximum exposure. Further, consumers soon forget this news as they reverted to prior consumption patterns in a matter of weeks. [EconLit citation: D120] © 2002 Wiley Periodicals, Inc.

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    File URL: http://hdl.handle.net/10.1002/agr.10033
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    Article provided by John Wiley & Sons, Ltd. in its journal Agribusiness.

    Volume (Year): 18 (2002)
    Issue (Month): 4 ()
    Pages: 459-474

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    Handle: RePEc:wly:agribz:v:18:y:2002:i:4:p:459-474
    DOI: 10.1002/agr.10033
    Contact details of provider: Web page: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1520-6297

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    1. Giancarlo Moschini & Karl D. Meilke, 1989. "Modeling the Pattern of Structural Change in U.S. Meat Demand," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 71(2), pages 253-261.
    2. Thurman, Walter N, 1986. "Endogeneity Testing in a Supply and Demand Framework," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 638-646, November.
    3. Moschini, GianCarlo & Meilke, Karl D., 1984. "Parameter Stability And The U.S. Demand For Beef," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 9(02), December.
    4. Chalfant, James A & Alston, Julian M, 1988. "Accounting for Changes in Tastes," Journal of Political Economy, University of Chicago Press, vol. 96(2), pages 391-410, April.
    5. David G. Swartz & Ivar E. Strand, Jr., 1981. "Avoidance Costs Associated with Imperfect Information: The Case of Kepone," Land Economics, University of Wisconsin Press, vol. 57(2), pages 139-150.
    6. Dahlgran, Roger A., 1987. "Complete Flexibility Systems And The Stationarity Of U.S. Meat Demands," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 12(02), December.
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