IDEAS home Printed from https://ideas.repec.org/p/uto/dipeco/201543.html
   My bibliography  Save this paper

Relational Goods and Direct Purchase from Farmers: Estimating the Value of the Relationship between Consumers and Producers

Author

Listed:

Abstract

Personal relationships can affect economic life and they may be even more important in Alternative Food Networks. We estimate the value of the relational good produced by the personal relationship in direct sales by farmers. This is relevant for assessing the importance of personal interaction in a typically economic behavior like food purchase. Drawing from theoretical considerations, we employ a stated preferences methodology to estimate the value consumers buying directly from farmers attach to their particular choice of vendor. We estimated a difference-in-utility model and a model based on the valuation function, using data from a consumer survey in open-air markets in four towns in Piedmont Region (Italy). Contingent on the chosen model, the average value is 10-12 percent of the consumers’ expenditure for fruits and vegetables, and up to 1.2-1.3 percent of their overall income.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Corsi, Alessandro & Novelli, Silvia, 2015. "Relational Goods and Direct Purchase from Farmers: Estimating the Value of the Relationship between Consumers and Producers," Department of Economics and Statistics Cognetti de Martiis. Working Papers 201543, University of Turin.
  • Handle: RePEc:uto:dipeco:201543
    as

    Download full text from publisher

    File URL: http://www.est.unito.it/do/home.pl/Download?doc=/allegati/wp2015dip/wp_43_2015.pdf
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. Gumirakiza, Jean Dominique & Curtis, Kynda R. & Bosworth, Ryan C., 2014. "Who Attends Farmers’ Markets and Why? Understanding Consumers and their Motivations," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 0(Issue 2), pages 1-18, May.
    2. Carroll, Kathryn A. & Bernard, John C. & Pesek, John D. Jr., 2013. "Consumer Preferences for Tomatoes: The Influence of Local, Organic, and State Program Promotions by Purchasing Venue," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 0(Number 3), pages 1-18.
    3. Cameron, Trudy Ann, 1988. "A new paradigm for valuing non-market goods using referendum data: Maximum likelihood estimation by censored logistic regression," Journal of Environmental Economics and Management, Elsevier, vol. 15(3), pages 355-379, September.
    4. Govindasamy, Ramu & Nayga, Rodolfo M., Jr., 1997. "Determinants Of Farmer-To-Consumer Direct Market Visits By Type Of Facility: A Logit Analysis," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 0(Number 1), pages 1-8, April.
    5. Cameron, Trudy Ann & James, Michelle D, 1987. "Efficient Estimation Methods for "Closed-ended' Contingent Valuation Surveys," The Review of Economics and Statistics, MIT Press, vol. 69(2), pages 269-276, May.
    6. Benedetto Gui & Luca Stanca, 2010. "Happiness and relational goods: well-being and interpersonal relations in the economic sphere," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 57(2), pages 105-118, June.
    7. Abello, Francisco J. & Palma, Marco A. & Anderson, David P. & Waller, Mark W., 2012. "Evaluating the Factors Influecing the Number of Visits to Farmers' Markets," 2012 Annual Meeting, February 4-7, 2012, Birmingham, Alabama 119786, Southern Agricultural Economics Association.
    8. Krinsky, Itzhak & Robb, A Leslie, 1986. "On Approximating the Statistical Properties of Elasticities," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 715-719, November.
    9. Corsi, Alessandro & Borsotto, Patrizia & Borri, Ilaria & Strom, Steinar, 2009. "Diversification of the marketing chains among organic producers," 2009 Conference, August 16-22, 2009, Beijing, China 51422, International Association of Agricultural Economists.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Corsi, Alessandro & Novelli, Silvia, 2016. "The value of the participation in Solidarity Purchasing Groups (SPGs): an empirical analysis in Piedmont," 2016 Fifth AIEAA Congress, June 16-17, 2016, Bologna, Italy 242305, Italian Association of Agricultural and Applied Economics (AIEAA).
    2. Corsi, Alessandro & Novelli, Silvia, 2016. "Alternative Food Networks and short food chains: estimating the economic value of the participation in solidarity purchasing groups," 149th Seminar, October 27-28, 2016, Rennes, France 244776, European Association of Agricultural Economists.

    More about this item

    JEL classification:

    • C5 - Mathematical and Quantitative Methods - - Econometric Modeling
    • D1 - Microeconomics - - Household Behavior
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:uto:dipeco:201543. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Piero Cavaleri) or (Marina Grazioli). General contact details of provider: http://edirc.repec.org/data/detorit.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.