No News Is Good News: Stochastic Parameters versus Media Coverage Indices in Demand Models after Food Scares

Mario Mazzocchi

American Journal of Agricultural Economics, 2006, vol. 88, issue 3, 727-741

Abstract: We develop a stochastic parameter approach to model the time-varying impacts of food scares on consumption, as an alternative to the inclusion of news coverage indices in the demand function. We empirically test the methodology on data from four food scares, the 1982 heptachlor milk contamination in Oahu, Hawaii and the bovine spongiform encephalopathy and two Escherichia coli scares on U.S. meat demand over the period 1993–9. Results show that the inclusion of time-varying parameters in demand models enables the capturing of the impact of food safety information and provides better short-term forecasts. Copyright 2006, Oxford University Press.

Date: 2006
References: Add references at CitEc
Citations: View citations in EconPapers (40)

Downloads: (external link)
http://hdl.handle.net/10.1111/j.1467-8276.2006.00891.x (application/pdf)
Access to full text is restricted to subscribers.

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:oup:ajagec:v:88:y:2006:i:3:p:727-741

Access Statistics for this article

American Journal of Agricultural Economics is currently edited by Madhu Khanna, Brian E. Roe, James Vercammen and JunJie Wu

More articles in American Journal of Agricultural Economics from Agricultural and Applied Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by Oxford University Press ().