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Valuing Animal Welfare with Choice Experiments: An Application to Swedish Pig Production

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  • Liljenstolpe, Carolina
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    In this paper, the demand for animal welfare attributes when buying pork fillet is investigated among Swedish respondents. More specifically, the coefficients of an indirect utility function and willingness to pay for animal welfare attributes are estimated. The utility function is estimated using a multinomial logit and a random parameter logit model. A realistic scenario when modeling consumer choices is to allow for heterogeneity in preferences. The random parameter logit model departs from the well known IIA property and allows for a more flexible taste distribution across individuals. The need for assuming randomness of some parameters are evaluated by using a specification testing procedure with artificial variables developed by McFadden and Train (2000). From this study it can be concluded that the preferences for some of the animal welfare attributes are heterogenous across the respondents. There exists both negative and positive wtp for animal welfare attributes. Further, the study reports on the distribution of individual wtp.

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    File URL: http://purl.umn.edu/24503
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    Paper provided by European Association of Agricultural Economists in its series 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark with number 24503.

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    Date of creation: 2005
    Handle: RePEc:ags:eaae05:24503
    Contact details of provider: Web page: http://www.eaae.org
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    12. Bruno Larue & Gale E. West & Carole Gendron & Rémy Lambert, 2004. "Consumer response to functional foods produced by conventional, organic, or genetic manipulation," Agribusiness, John Wiley & Sons, Ltd., vol. 20(2), pages 155-166.
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    16. Carlsson, Fredrik & Frykblom, Peter & Lagerkvist, Carl Johan, 2004. "Consumer willingness to pay for farm animal welfare - transportation of farm animals to slaughter versus the use of mobile abattoirs," Working Papers in Economics 149, University of Gothenburg, Department of Economics.
    17. Carlsson, Fredrik & Frykblom, Peter & Liljenstolpe, Carolina, 2003. "Valuing wetland attributes: an application of choice experiments," Ecological Economics, Elsevier, vol. 47(1), pages 95-103, November.
    18. Spencer Henson & Bruce Traill, 2000. "Measuring Perceived Performance of the Food System and Consumer Food-Related Welfare," Journal of Agricultural Economics, Wiley Blackwell, vol. 51(3), pages 388-404.
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