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Decomposing the Value of Food Labels on Chicken

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  • Neuhofer, Zachary
  • Lusk, Jayson L.

Abstract

This study explores the effects of consumers’ beliefs about labels on chicken. We elicit beliefs associated with seven different labels. By varying the presence/absence of labels in a choice experiment, we are able to determine the effects of labels on consumer choices and decompose the value of labels into beliefs and base utility. Health perceptions have the largest positive effect, and impacts of animal welfare vary by information treatment. We explore the convergent validity of our approach by comparing individual’s beliefs to responses to a best-worst scaling question, which were weakly correlated, suggesting the two approaches are measuring different constructs.
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  • Neuhofer, Zachary & Lusk, Jayson L., 2020. "Decomposing the Value of Food Labels on Chicken," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304334, Agricultural and Applied Economics Association.
    • Handle: RePEc:ags:aaea20:304334
    DOI: 10.22004/ag.econ.304334
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    References listed on IDEAS

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    1. Malone, Trey & Lusk, Jayson L., 2017. "Taste Trumps Health And Safety: Incorporating Consumer Perceptions Into A Discrete Choice Experiment For Meat," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 49(1), pages 139-157, February.
    2. Lusk, Jayson L. & Rozan, Anne, 2008. "Public Policy and Endogenous Beliefs: The Case of Genetically Modified Food," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 33(2), pages 1-20.
    3. Jayson L. Lusk & Jutta Roosen & John A. Fox, 2003. "Demand for Beef from Cattle Administered Growth Hormones or Fed Genetically Modified Corn: A Comparison of Consumers in France, Germany, the United Kingdom, and the United States," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(1), pages 16-29.
    4. Mennecke, Brian & Townsend, Anthony & Hayes, Dermot J. & Lonergan, Steven, 2006. "A Study of the Factors That Influence Consumer Attitudes Toward Beef Products Using the Conjoint Market Analysis Tool," Staff General Research Papers Archive 12650, Iowa State University, Department of Economics.
    5. Glynn T. Tonsor & Nicole J. Olynk, 2011. "Impacts of Animal Well‐Being and Welfare Media on Meat Demand," Journal of Agricultural Economics, Wiley Blackwell, vol. 62(1), pages 59-72, February.
    6. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74(2), pages 132-132.
    7. Jayson L. Lusk & Ted C. Schroeder & Glynn T. Tonsor, 2014. "Editor's choice Distinguishing beliefs from preferences in food choice," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 41(4), pages 627-655.
    8. Ortega, David L. & Wolf, Christopher A., 2018. "Demand for farm animal welfare and producer implications: Results from a field experiment in Michigan," Food Policy, Elsevier, vol. 74(C), pages 74-81.
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    Cited by:

    1. Drugova, Tatiana & Curtis, Kynda R., 2023. "Research Report: Do Consumer Beliefs Impact Their Preferences for Organic Specialty Baked Goods?," Journal of Food Distribution Research, Food Distribution Research Society, vol. 54(01), March.

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