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Substitutes or Complements? Consumer Preference for Local and Organic Food Attributes

Meas, Thong ; Hu, Wuyang ; Batte, Marvin T. ; Woods, Timothy A. ; Ernst, Stan

American journal of agricultural economics, 2015-07, Vol.97 (4), p.1044-1071 [Periódico revisado por pares]

Malden: Oxford University Press

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  • Título:
    Substitutes or Complements? Consumer Preference for Local and Organic Food Attributes
  • Autor: Meas, Thong ; Hu, Wuyang ; Batte, Marvin T. ; Woods, Timothy A. ; Ernst, Stan
  • Assuntos: Agricultural economics ; Choice experiment ; Consumer attitudes ; Consumer preferences ; Consumers ; Family owned businesses ; interaction effects ; Kentucky ; local food ; Local products ; Natural products ; Ohio ; organic food ; smallfarm product ; Studies ; substitute and complementary attributes ; United States ; Willingness to pay
  • É parte de: American journal of agricultural economics, 2015-07, Vol.97 (4), p.1044-1071
  • Notas: The authors would like to thank two anonymous reviewers and the editor Madhu Khanna for their critical comments and helpful suggestions to improve the earlier drafts of this article. The data used in this study were collected in a project supported in part by the National Research Initiative of the US Department of Agriculture, Cooperative State Research, Education, and Extension Service, grant number 2005‐35618‐15646, and the Fred N. VanBuren Program in Farm Management at The Ohio State University. The research was also supported by the Huazhong Agricultural University Scientific and Technological Self‐Innovation Foundation (program # 2012RC003) and National Natural Science Foundation of China (grant # 71073064 and # 71273106). Support from the University of Kentucky Agricultural Experiment Station is also acknowledged.
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  • Descrição: This research examines consumer preference and compares their willingness-to-pay for a host of value-added attributes of processed blackberry jam, and focuses on various organic and local production location designations. Instead of being treated as a binary attribute, three levels of USDA organic are considered: 100% organic, at least 95% organic, and made with organic ingredients (at least 70% organic). For local production, three levels are also included in the analysis: cross-state region (the Ohio Valley), state boundary (state-proud logos), as well as sub-state regions. Stated-preference data collected from a choice experiment in a mail survey in Kentucky and Ohio are used. Results from the study confirm positive willingness-to-pay for both organic and local attributes. However, consumers were willing to pay comparatively more for jam produced locally in regions smaller than the border of a state compared to organic jam. Furthermore, substitution and complementary effects between food attributes were investigated. The study found strong substitution effects between organic and local production claims, an issue that has thus far received minimal treatment in the existing literature on organic and local food willingness-to-pay studies. The results indicate a large degree of overlapping values in the willingness-to-pay for these two food attributes. In addition, the "small farm" attribute considered in the study also appears to be a substitute for organic and local attributes, which confirms the previous belief that one of the many reasons consumers purchase organic or local products is to support small or family-owned farms.
  • Editor: Malden: Oxford University Press
  • Idioma: Inglês

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