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Willingness to pay for environmental attributes of non-food agricultural products: a real choice experiment

Author

Listed:
  • Michaud, C.
  • Llerena, D.
  • Joly, I.

Abstract

This paper investigates consumers’ willingness to pay (WTP) a price premium for two environmental attributes of a non-food agricultural product. We study individual preferences for roses associated with an eco-label and a carbon footprint using an economic experiment combining discrete choice questions and real economic incentives involving real purchases of roses against cash. The data are analyzed with a mixed logit model and reveal significant premiums for both environmental attributes of the product.

Suggested Citation

  • Michaud, C. & Llerena, D. & Joly, I., 2012. "Willingness to pay for environmental attributes of non-food agricultural products: a real choice experiment," Working Papers 201201, Grenoble Applied Economics Laboratory (GAEL).
  • Handle: RePEc:gbl:wpaper:201201
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    References listed on IDEAS

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    More about this item

    Keywords

    WILLINGNESS TO PAY; ENVIRONMENTAL ATTRIBUTES; NON-FOOD PRODUCT; REAL CHOICE EXPERIMENT; MIXED LOGIT;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General

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