EconPapers    
Economics at your fingertips  
 

Heterogeneity in Consumer Responses to Front-of-Package Nutrition Labels: Evidence from a Natural Experiment?

Chen Zhu and Rui Huang ()
Additional contact information
Rui Huang: University of Connecticut

No 27, Working Papers from University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy

Abstract: We use a market-level natural experiment to evaluate how the voluntary Facts Up Front style Front-of-Package (FOP) nutritional labeling system would affect consumer choices, and whether it can promote the consumption of healthier food products. The new FOP system provides a quick summary of the calories, sugar, saturated fat, and selected positive nutrients, and is listed on the front of food packages. Using data of household-level Ready-to-Eat cereal (RTEC) purchases and difference-in-differences (DD) approaches, we find that the new FOP labels induce consumers to buy less RTEC, consume fewer calories, and less sodium, but only in households purchasing two RTEC packages per month or fewer. For RTEC products containing new FOP labels, consumers are observed to substitute more vigorously from products with poor nutritional quality to healthier RTEC products. We also find that household heads with education levels of a high school degree or less show the greatest improvement in their food choices, suggesting that the FOP labels change consumer behavior primarily through reduced information costs.

Keywords: Front-of -Package (FOP) Nutrition labels; label restriction; self-regulation; distributional effects (search for similar items in EconPapers)
Pages: 36 pages
Date: 2014-05
New Economics Papers: this item is included in nep-agr and nep-mkt
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://www.cag.uconn.edu/are/zwickcenter/documents/workingpapers/wp27.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://www.cag.uconn.edu/are/zwickcenter/documents/workingpapers/wp27.pdf [302 Found]--> http://cag.uconn.edu/404.php)

Related works:
Working Paper: Heterogeneity in Consumer Responses to Front-of-Package Nutrition Labels: Evidence from a Natural Experiment? (2014) 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:zwi:wpaper:27

Access Statistics for this paper

More papers in Working Papers from University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy Contact information at EDIRC.
Bibliographic data for series maintained by ().

 
Page updated 2022-01-19
Handle: RePEc:zwi:wpaper:27