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Identifying Food Labeling Effects on Consumer Behavior

Author

Listed:
  • Sebastián Araya
  • Andres Elberg
  • Carlos Noton
  • Daniel Schwartz

Abstract

We take advantage of the gradual implementation of a comprehensive mandatory food labeling regulation introduced in Chile to identify its effects on consumer behavior. Using individual-level scandata from transactions in a big-box supermarket, we estimate a demand model for differentiated products in which a food label indicator captures the warning label effect. We find sizable effects on juices and cereals, but no impact on chocolates & candies and cookies. Our results are consistent with the information disclosure being effective only when information is unexpected. Key words:

Suggested Citation

  • Sebastián Araya & Andres Elberg & Carlos Noton & Daniel Schwartz, 2018. "Identifying Food Labeling Effects on Consumer Behavior," Documentos de Trabajo 339, Centro de Economía Aplicada, Universidad de Chile.
    • Handle: RePEc:edj:ceauch:339
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    Cited by:

    1. Clement O. Codjia & Timothy A. Woods & Yuqing Zheng, 2024. "Mandatory nutrition attributes labeling and consumer demand: a structural approach analysis of the US soft drink market," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 12(1), pages 1-25, December.
    2. Stortz, Laura & Lee, Yu Na & Von Massow, Michael, 2020. "Do Front-of-Package Warning Labels Reduce Demand for Foods ‘High In’ Saturated Fat, Sugar, or Sodium?," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304581, Agricultural and Applied Economics Association.
    3. Larisa Ivascu & David Frank Ahimaz & Benedict Valentine Arulanandam & Gelu-Ovidiu Tirian, 2021. "The Perception and Degree of Adoption by Urbanites towards Urban Farming," Sustainability, MDPI, vol. 13(21), pages 1-17, November.
    4. Yu Na Lee & Laura Stortz & Mike von Massow & Christopher Kimmerer, 2023. "Impact of ‘‘high in” front‐of‐package nutrition labeling on food choices: Evidence from a grocery shopping experiment," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 71(3-4), pages 277-301, September.
    5. Voraprapa Nakavachara & Chanon Thongtai & Thanarat Chalidabhongse & Chanathip Pharino, 2025. "Ethical Appetite: Consumer Preferences and Price Premiums for Animal Welfare-Friendly Food Products," Papers 2505.04042, arXiv.org.
    6. Martin, Gael M. & Frazier, David T. & Maneesoonthorn, Worapree & Loaiza-Maya, Rubén & Huber, Florian & Koop, Gary & Maheu, John & Nibbering, Didier & Panagiotelis, Anastasios, 2024. "Bayesian forecasting in economics and finance: A modern review," International Journal of Forecasting, Elsevier, vol. 40(2), pages 811-839.
    7. Nugraha, Widya Satya & Chen, Dennis & Yang, Shang-Ho, 2022. "The effect of a Halal label and label size on purchasing intent for non-Muslim consumers," Journal of Retailing and Consumer Services, Elsevier, vol. 65(C).
    8. Benjamin Vatter, 2025. "Quality Disclosure and Regulation: Scoring Design in Medicare Advantage," Econometrica, Econometric Society, vol. 93(3), pages 959-1001, May.
    9. Bauner, Christoph & Rahman, Rajib, 2023. "The Effect of Front-Of-Package Nutrition Labelling on Product Composition," 2023 Annual Meeting, July 23-25, Washington D.C. 335446, Agricultural and Applied Economics Association.
    10. Paraje, Guillermo & Colchero, Arantxa & Wlasiuk, Juan Marcos & Sota, Antonio Martner & Popkin, Barry M., 2021. "The effects of the Chilean food policy package on aggregate employment and real wages," Food Policy, Elsevier, vol. 100(C).
    11. Guhl, Daniel, 2024. "Tracking time-varying brand equity using household panel data," Journal of Business Research, Elsevier, vol. 182(C).
    12. Grace Melo & Laura Chomali & Ariun Ishdorj, 2024. "From sweet tooth to healthy choices: How Chilean food policies are changing household diets," Agribusiness, John Wiley & Sons, Ltd., vol. 40(3), pages 550-570, July.

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