Consumer confidence in Food Safety and the 2010 egg recall

Sebastien Pouliot ()

No 124769, 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington from Agricultural and Applied Economics Association

Abstract: Iowa egg producers recalled nearly 500 million eggs in August 2010. The typical effect of a recall is to cause a decline in the demand for the affected product, yielding a decrease in the price. In the case of August 2010 egg recall, the price of eggs increased in the following weeks. This essay investigates the market effects of the egg recall. I estimate a system of simultaneous equations that includes supply and demand equations for the two main segments of the US industry. This essay offers preliminary evidence of the market effects of the August 2010 egg recall and describes the methodology to estimate the shift in consumers’ willingness to pay for eggs accounting for the diversion of eggs in the other segment of the industry.

Keywords: Demand and Price Analysis; Food Consumption/Nutrition/Food Safety; Marketing; Production Economics (search for similar items in EconPapers)
Pages: 25
Date: 2012-06-04
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://ageconsearch.umn.edu/record/124769/files/P ... 0-%20AAEA%202012.pdf (application/pdf)

Related works:
Working Paper: Consumer confidence in Food Safety and the 2010 egg recall (2012)
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:aaea12:124769

DOI: 10.22004/ag.econ.124769

Access Statistics for this paper

More papers in 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington from Agricultural and Applied Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().