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Consumer Premiums for Environmentally Friendly Grass-Fed and Organic Milk in the Southeast

Jonathan Wong, Uthra Raghunathan, Cesar Escalante () and Kent Wolfe

Journal of Agribusiness, 2010, vol. 28, issue 01

Abstract: This paper examines determinants of consumers’ willingness to pay a premium for grass-fed and organic dairy by using survey data collected from several south- eastern states. Ordered and Heckman probit regression techniques were used to identify the significance of consumer characteristics on their willingness to pay separate and comparative premiums, respectively, for the two milk product alternatives. The results indicate that while gender and household income are significant determinants of price premiums for both organic and grass-fed dairy products, only household income is positively significant in the Heckman selection estimation.

Keywords: Agricultural; and; Food; Policy (search for similar items in EconPapers)
Date: 2010
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:ags:jloagb:260088

DOI: 10.22004/ag.econ.260088

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