EconPapers    
Economics at your fingertips  
 

Reconstructing market reactions to consumption harms

M. P. McCullough, Thomas Marsh and R. Huffaker

Applied Economics Letters, 2013, vol. 20, issue 2, 173-179

Abstract: We investigate dynamic market reactions from harmful events using phase space reconstruction to analyse nonlinear dynamical systems. Phase space reconstruction analysis is applied to US beef consumption data, demonstrating market deviations and transitions from plausible, stable consumption patterns in response to product attributes (latent or nonlatent) coinciding with longer or shorter term human health harms (e.g. cholesterol) or food safety harms (e.g. Escherichia coli and Bovine Spongiform Encephalopathy (BSE)). The results support complex, nonlinear dynamic behavioural responses to perceived consumption harms. Consistent with previous research, the perceived negative long-run health effect from cholesterol caused consumers to transition their consumption behaviour from a higher to a lower level while retaining a persistent seasonal pattern. In contrast, responses to food safety information (i.e. E. coli or BSE) about beef derived from phase space reconstruction demonstrated temporary deviations from stable consumption patterns.

Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
http://hdl.handle.net/10.1080/13504851.2012.687091 (text/html)
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:taf:apeclt:v:20:y:2013:i:2:p:173-179

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RAEL20

Access Statistics for this article

Applied Economics Letters is currently edited by Anita Phillips

More articles in Applied Economics Letters from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().

 
Page updated 2020-02-05
Handle: RePEc:taf:apeclt:v:20:y:2013:i:2:p:173-179