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Endogenous Consumer Preferences And Knowledge About Nutrition

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  • Mojduszka, Eliza M.
  • Everett, Rachel M.

Abstract

What are the important determinants of consumer demand and how have they been changing over the last decade? Understanding these factors is crucial for evaluating the benefits and costs of government regulations, such as labeling, intended to influence consumer food choice and, ultimately, public health; for assessing the competitiveness of U.S. agricultral producers and food processors as they choose product designs and marketing strategies; and for assessing the impact of changing consumer demand for food on the agricultural and food sectors of the U.S. economy. The objectives of this paper are to make a significant contribution to demand analysis by basing this understanding on the use of uniquely comprehensive data sets and theoretical/modeling techniques that evaluate demand on the brand level; and to build a comprehensive understanding of the relative importance of different determinants of consumer food choices in the decade from 1993-2002. The overall goal is to analyze what is driving consumer choices and the implications of these drivers for food and nutrition policy in the United States. A particular focus is the relative importance of advertising, other company marketing strategies, nutritional quality, privately and publicly provided nutritional information, and consumer dietary concerns and knowledge in determining consumer demand for food products.

Suggested Citation

  • Mojduszka, Eliza M. & Everett, Rachel M., 2003. "Endogenous Consumer Preferences And Knowledge About Nutrition," 2003 Annual meeting, July 27-30, Montreal, Canada 22074, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea03:22074
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    File URL: http://purl.umn.edu/22074
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    References listed on IDEAS

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    1. Jeffrey M. Perloff & Steven C. Salop, 1985. "Equilibrium with Product Differentiation," Review of Economic Studies, Oxford University Press, vol. 52(1), pages 107-120.
    2. Harris, James Michael, 1997. "The Impact Of Food Product Characteristics On Consumer Purchasing Behavior: The Case Of Frankfurters," Journal of Food Distribution Research, Food Distribution Research Society, vol. 28(1), February.
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    4. Steven Berry & James Levinsohn & Ariel Pakes, 2004. "Differentiated Products Demand Systems from a Combination of Micro and Macro Data: The New Car Market," Journal of Political Economy, University of Chicago Press, vol. 112(1), pages 68-105, February.
    5. 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.
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    7. Jerry Hausman & Gregory Leonard & J. Douglas Zona, 1994. "Competitive Analysis with Differentiated Products," Annals of Economics and Statistics, GENES, issue 34, pages 143-157.
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    9. Simon P. Anderson & Andre de Palma & Jacques-Francois Thisse, 1987. "Demand for Differentiated Products," Discussion Papers 726, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
    10. Lin, Biing-Hwan & Frazao, Elizabeth & Guthrie, Joanne F., 1999. "Away-From-Home Foods Increasingly Important to Quality of American Diet," Agricultural Information Bulletins 33733, United States Department of Agriculture, Economic Research Service.
    11. Jerry A. Hausman, 1996. "Valuation of New Goods under Perfect and Imperfect Competition," NBER Chapters,in: The Economics of New Goods, pages 207-248 National Bureau of Economic Research, Inc.
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    Cited by:

    1. Turvey, Calum G. & Mojduszka, Eliza M., 2005. "The Precautionary Principle and the law of unintended consequences," Food Policy, Elsevier, vol. 30(2), pages 145-161, April.
    2. Golub, Alla A. & Binkley, James K., 2005. "Determinants of household choice of breakfast cereals: healthy or unhealthy?," 2005 Annual meeting, July 24-27, Providence, RI 19181, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

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