EconPapers    
Economics at your fingertips  
 

The Price Premium for Organic Wines: Estimating a Hedonic Farm-Gate Price Equation

Alessandro Corsi and Steinar Strøm

Journal of Wine Economics, 2013, vol. 8, issue 01, 29-48

Abstract: Organic wines are increasingly produced and appreciated. Because organic production is more costly, a crucial question is whether they benefit from a price premium. We estimate hedonic price functions for Piedmont organic and conventional wines. We use data on the production side in addition to variables of interest to consumers. Our results show that, along with characteristics of interest to consumers, some farm and producer characteristics not directly relevant for consumers do significantly affect wine prices. We find that organic wine tends to obtain higher prices than conventional wine. The price premium is not simply an addition to other price components; organic quality modifies the impact of the other variables on price. (JEL Classification: C21, D49, L11, Q12)

Date: 2013
References: Add references at CitEc
Citations: View citations in EconPapers (9) Track citations by RSS feed

Downloads: (external link)
https://journals.cambridge.org/abstract_S1931436112000223 link to article abstract page (text/html)

Related works:
Working Paper: The Price Premium for Organic Wines: Estimating a Hedonic Farm-gate Price Equation (2013) Downloads
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:cup:jwecon:v:8:y:2013:i:01:p:29-48_00

Access Statistics for this article

More articles in Journal of Wine Economics from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK.
Bibliographic data for series maintained by Keith Waters ().

 
Page updated 2019-10-11
Handle: RePEc:cup:jwecon:v:8:y:2013:i:01:p:29-48_00