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Evaluating animal welfare with choice experiments: an application to Swedish pig production

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  • Carolina Liljenstolpe

    (Department of Economics, SLU, Uppsala, Sweden)

Abstract

In this study, the demand for animal welfare attributes when buying pork fillet is investigated among Swedish respondents. The issue is of importance in order to ensure an economically viable pig industry while applying an increasing number of animal friendly practices. In order to obtain information about consumer demand, an indirect utility function and willingness to pay (WTP) for animal welfare attributes are estimated. The attributes are solely associated with animal friendly practices. An investigation of numerous housing and managerial practices of pig production has not yet been performed. The indirect utility function is estimated using a random parameter logit model. A realistic approach when modeling consumer choice is to allow for heterogeneity in preferences. The relevance of assuming randomness of some of the parameters is evaluated by using a specification test developed by McFadden and Train (2000). The WTP is also estimated at the individual level. The results indicate that WTP for animal welfare attributes may be negative or positive. The preferences are also heterogeneous among respondents, which may be explained by a segmentation of preferences. Finally, the WTP estimates for animal welfare practices are compared with cost estimates for such production systems. [Econlit subject codes: C010, C500, Q100] © 2008 Wiley Periodicals, Inc.

Suggested Citation

  • Carolina Liljenstolpe, 2008. "Evaluating animal welfare with choice experiments: an application to Swedish pig production," Agribusiness, John Wiley & Sons, Ltd., vol. 24(1), pages 67-84.
  • Handle: RePEc:wly:agribz:v:24:y:2008:i:1:p:67-84 DOI: 10.1002/agr.20147
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    1. Petershammer, Silke & Dahlhausen, Johanna & Roosen, Jutta, 2016. "Zahlungsbereitschaft Für Tierwohl," 56th Annual Conference, Bonn, Germany, September 28-30, 2016 244890, German Association of Agricultural Economists (GEWISOLA).
    2. Mariel, Petr & Ayala, Amaya de & Hoyos, David & Abdullah, Sabah, 2013. "Selecting random parameters in discrete choice experiment for environmental valuation: A simulation experiment," Journal of choice modelling, Elsevier, vol. 7(C), pages 44-57.
    3. Tina L. Saitone & Richard J. Sexton & Daniel A. Sumner, 2015. "What Happens When Food Marketers Require Restrictive Farming Practices?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 97(4), pages 1021-1043.
    4. Christoph-Schulz, Inken & Salamon, Petra & Weible, Daniela, 2015. "What is the benefit of organically-reared dairy cattle? Societal perception towards conventional and organic dairy farming," 144th Seminar, February 9-13, 2015, Innsbruck-Igls, Austria 206236, European Association of Agricultural Economists.
    5. Christoph-Schulz, Inken & Salamon, Petra & Weible, Daniela, 2015. "What is the benefit of organically-reared dairy cattle? Societal perception towards conventional and organic dairy farming," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 6(3).
    6. Sophie de Graaf & Filiep Vanhonacker & Ellen J. Van Loo & Jo Bijttebier & Ludwig Lauwers & Frank A. M. Tuyttens & Wim Verbeke, 2016. "Market Opportunities for Animal-Friendly Milk in Different Consumer Segments," Sustainability, MDPI, Open Access Journal, vol. 8(12), pages 1-17, December.
    7. Li, Hao & Elbakidze, Levan, 2016. "Application of Regression Discontinuity Approach in Experimental Auctions: A Case Study of Gaining Participants’ Trust and Their Willingness to Pay," 2016 Annual Meeting, July 31-August 2, 2016, Boston, Massachusetts 236149, Agricultural and Applied Economics Association.
    8. Tonsor, Glynn T. & Wolf, Christopher & Olynk, Nicole, 2009. "Consumer voting and demand behavior regarding swine gestation crates," Food Policy, Elsevier, vol. 34(6), pages 492-498, December.
    9. Norwood, F. Bailey & Lusk, Jayson L., 2011. "A calibrated auction-conjoint valuation method: Valuing pork and eggs produced under differing animal welfare conditions," Journal of Environmental Economics and Management, Elsevier, vol. 62(1), pages 80-94, July.
    10. Christoph, Inken B. & Buergelt, Doreen & Salamon, Petra & Weible, Daniela & Zander, Katrin, 2012. "A Holistic Approach to Consumer Research on Expectations Regarding Animal Husbandry," 2012 International European Forum, February 13-17, 2012, Innsbruck-Igls, Austria 144963, International European Forum on Innovation and System Dynamics in Food Networks.
    11. Christoph-Schulz, Inken & Salamon, Petra & Weible, Daniela, 2015. "What is the benefit of organically-reared dairy cattle? Societal perception towards conventional and organic dairy farming," 2015 International European Forum, February 17-21, 2014, Innsbruck-Igls, Austria 206236, International European Forum on Innovation and System Dynamics in Food Networks.
    12. Santeramo, Fabio Gaetano & Carlucci, Domenico & De Devitiis, Biagia & Seccia, Antonio & Stasi, Antonio & Viscecchia, Rosaria & Nardone, Gianluca, 2017. "Emerging trends in European food, diets and food industry," MPRA Paper 82105, University Library of Munich, Germany.
    13. Schulze-Ehlers, Birgit & Purwins, Nina, 2016. "Does having a Choice make a Difference? Market Potential of the Animal Welfare Label in Germany," 2016 International European Forum, February 15-19, 2016, Innsbruck-Igls, Austria 244531, International European Forum on System Dynamics and Innovation in Food Networks.
    14. Lombardini, Chiara & Kosenius, Anna-Kaisa & Kulmala, Soile & Lindroos, Marko, 2011. "Is there a Finnish Animal Welfare Kuznets Curve?," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114379, European Association of Agricultural Economists.
    15. Kehlbacher, A. & Bennett, R. & Balcombe, K., 2012. "Measuring the consumer benefits of improving farm animal welfare to inform welfare labelling," Food Policy, Elsevier, vol. 37(6), pages 627-633.
    16. Naald, Brian Vander & Cameron, Trudy Ann, 2011. "Willingness to pay for other species' well-being," Ecological Economics, Elsevier, vol. 70(7), pages 1325-1335, May.
    17. Bicknell, Kathryn, 2011. "The Distributional Implications for Higher Farm Animal Welfare in New Zealand," 2011 Conference, August 25-26, 2011, Nelson, New Zealand 115418, New Zealand Agricultural and Resource Economics Society.
    18. Patterson, Jacinta & Mugera, Amin & Burton, Michael, 2015. "Consumer Preferences for Welfare Friendly Production Methods: The Case of Chicken Production in Western Australia," 2015 Conference (59th), February 10-13, 2015, Rotorua, New Zealand 202567, Australian Agricultural and Resource Economics Society.

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