The Effect Of Food-Safety Related Information On Consumers' Preference: The Case Of Bse Outbreak In Japan
This study analyzes consumers' responses to food-safety related information by evaluating if Japanese consumers have undergone a structural change in their preferences for meat due to the BSE outbreak in the country. The axiom of revealed preference is utilized to test the stability of preference in Japanese meat consumption. The matrix of weak form of revealed preference (WARP) is partitioned and Kruskal-Wallis statistics are derived to evaluate whether the switches of preference are transitory or due to a structural change. Empirical results show that Japanese meat demand has undergone a structural change, synchronized with the BSE outbreak in Japan in mid-September 2001.
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