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

Author

Listed:
  • Céline Michaud

    (GAEL - Laboratoire d'Economie Appliquée = Grenoble Applied Economics Laboratory - UPMF - Université Pierre Mendès France - Grenoble 2 - INRA - Institut National de la Recherche Agronomique)

  • Daniel Llerena

    (GAEL - Laboratoire d'Economie Appliquée = Grenoble Applied Economics Laboratory - UPMF - Université Pierre Mendès France - Grenoble 2 - INRA - Institut National de la Recherche Agronomique)

  • Iragaël Joly

    (GAEL - Laboratoire d'Economie Appliquée = Grenoble Applied Economics Laboratory - UPMF - Université Pierre Mendès France - Grenoble 2 - INRA - Institut National de la Recherche Agronomique)

Abstract

This paper investigates consumers'willingness to pay 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 analysed with a mixed logit model and reveal significant premiums for both environmental attributes of the product.

Suggested Citation

  • Céline Michaud & Daniel Llerena & Iragaël Joly, 2013. "Willingness to pay for environmental attributes of non-food agricultural products: a real choice experiment," Post-Print hal-01809070, HAL.
    • Handle: RePEc:hal:journl:hal-01809070
    DOI: 10.1093/erae/jbs025
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    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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