Estimating the Optimal Premium Rates for Credential Food Attributes: A Case Study in the Northeast United States

Minghao Li, Qingbin Wang and Jane Kolodinsky

Journal of Food Distribution Research, 2012, vol. 43, issue 2, 13

Abstract: Using data from the 2010 Taste of Place survey conducted in Vermont and three metropolitan areas in the northeast United States, this study examines consumer willingness to pay (WTP), estimates price elasticity, and calculates the optimal premium rates for selected credence food attributes. The empirical results indicate that respondents’ WTP varies significantly across attributes and is closely associated with certain demographic factors. The estimated optimal premium rates and estimation procedures presented in this paper can help producers and retailers identify the optimal premium rates for each attribute in association with geographical or socioeconomic segments of consumers.

Keywords: Community/Rural/Urban Development; Crop Production/Industries (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://ageconsearch.umn.edu/record/145329/files/JFDR%2043_2_%204%20Li.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:jlofdr:145329

DOI: 10.22004/ag.econ.145329

Access Statistics for this article

More articles in Journal of Food Distribution Research from Food Distribution Research Society Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().