IDEAS home Printed from https://ideas.repec.org/p/ags/aaea04/20138.html
   My bibliography  Save this paper

Willingness-to-Accept and Willingness-to-Pay for GM and Non-GM Food: UK Consumers

Author

Listed:
  • Moon, Wanki
  • Rimal, Arbindra
  • Balasubramanian, Siva K.

Abstract

Our research elicited UK consumers¡¯ willingness-to-accept (WTA) discount in exchange for giving up non-GM food and willingness-to-pay (WTP) premium to purchase non-GM food. Eliciting only WTP does not provide sufficient information for determining substitutability between GM and non-GM food. Results indicate that there is a strong demand for non-GM food in the UK, but a non-negligible segment expressed their willingness to substitute non-GM food with GM version either without discount (12 %) or with discounts (34 %). This result suggests that there is an economic incentive for food industry in Europe to offer GM food to consumers.

Suggested Citation

  • Moon, Wanki & Rimal, Arbindra & Balasubramanian, Siva K., 2004. "Willingness-to-Accept and Willingness-to-Pay for GM and Non-GM Food: UK Consumers," 2004 Annual meeting, August 1-4, Denver, CO 20138, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea04:20138
    as

    Download full text from publisher

    File URL: http://purl.umn.edu/20138
    Download Restriction: no

    References listed on IDEAS

    as
    1. Michael Burton & Dan Rigby & Trevor Young, 2001. "Consumer attitudes to genetically modified organisms in food in the UK," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 28(4), pages 479-498, December.
    2. John Loomis & Armando Gonzalez-Caban & Robin Gregory, 1994. "Do Reminders of Substitutes and Budget Constraints Influence Contingent Valuation Estimates?," Land Economics, University of Wisconsin Press, vol. 70(4), pages 499-506.
    3. Jayson L. Lusk, 2003. "Effects of Cheap Talk on Consumer Willingness-to-Pay for Golden Rice," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(4), pages 840-856.
    4. Lusk, Jayson L. & Daniel, M. Scott & Mark, Darrell R. & Lusk, Christine L., 2001. "Alternative Calibration And Auction Institutions For Predicting Consumer Willingess To Pay For Nongenetically Modified Corn Chips," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 26(01), July.
    5. Mary Jo Kealy & Robert W. Turner, 1993. "A Test of the Equality of Closed-Ended and Open-Ended Contingent Valuations," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 75(2), pages 321-331.
    6. Wanki Moon & Siva K. Balasubramanian, 2004. "Public Attitudes toward Agrobiotechnology: The Mediating Role of Risk Perceptions on the Impact of Trust, Awareness, and Outrage," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 26(2), pages 186-208.
    7. Hanemann, W Michael, 1991. "Willingness to Pay and Willingness to Accept: How Much Can They Differ?," American Economic Review, American Economic Association, vol. 81(3), pages 635-647, June.
    8. Kahneman, Daniel & Knetsch, Jack L & Thaler, Richard H, 1990. "Experimental Tests of the Endowment Effect and the Coase Theorem," Journal of Political Economy, University of Chicago Press, vol. 98(6), pages 1325-1348, December.
    9. Huffman, Wallace E. & Shogren, Jason F. & Rousu, Matthew C. & Tegene, Abebayehu, 2001. "The Value To Consumers Of Gm Food Labels In A Market With Asymmetric Information: Evidence From Experimental Auctions," 2001 Annual meeting, August 5-8, Chicago, IL 20553, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    10. Baker, Gregory A. & Burnham, Thomas A., 2001. "Consumer Response To Genetically Modified Foods: Market Segment Analysis And Implications For Producers And Policy Makers," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 26(02), December.
    11. Ian M. Sheldon, 2002. "Regulation of biotechnology: will we ever 'freely' trade GMOs?," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 29(1), pages 155-176, March.
    12. Loomis John & Lockwood Michael & DeLacy Terry, 1993. "Some Empirical Evidence on Embedding Effects in Contingent Valuation of Forest Protection," Journal of Environmental Economics and Management, Elsevier, vol. 25(1), pages 45-55, July.
    Full references (including those not matched with items on IDEAS)

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aaea04:20138. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search). General contact details of provider: http://edirc.repec.org/data/aaeaaea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.