240 research outputs found
THE EFFECT OF THE NUMBER OF CHOICE SETS ON RESPONSES IN A STATED CHOICE SURVEY
No full textAn important issue for the stated choice method is the effect of the number of choice sets on responses. Based on a study of this issue in a mailed survey, results indicate that the number of choice sets does not affect survey response rates or item non-response rates.Research Methods/ Statistical Methods,
GENETICALLY MODIFIED FOODS: CONSUMERS' ATTITUDES AND LABELING ISSUES
No full textConsumers' attitudes to genetically modified (GM) food ingredients and their reactions to and preferences for labeling of GM food are topical issues for Canadian food policy and are the subjects of this study. This project included several components. The first of these was an assessment of public attitudes to biotechnology and to GM food based on evidence from polls and other studies. These show increasing awareness and some increase in wariness of GM food, in Canada and elsewhere. In the second component of the project, analysis of survey data on Alberta consumers' preferences for different policy approaches to GM food was undertaken. This analysis indicates a preference by Alberta residents for GM food policy to emphasize the provision of more information to consumers, through labeling, over a policy that would provide for more rigorous inspection; even so, more inspection was favored by many respondents. More regulation that would restrict biotechnology was the least favoured of the three options that were presented to Alberta respondents. In a third component of the project, a case study on individual's attitudes to and preferences for GM ingredients in two selected food items (one of which was a nacho chip and the other of which was bread) was pursued through focus groups that were conducted in Edmonton, Alberta in 2002. This indicated highly varied attitudes and responses to GM food in general and to the selected products in particular. Attitudes to and preferences for environmental and health benefits that might be introduced through biotechnology were explored in these groups. Some 50 percent of focus group respondents indicated a willingness to buy the identified GM products, at a price discount. The fourth and final component of the project involved two sections of a Canada- wide survey, conducted in early 2003. These components queried respondents' assessments of the importance of various food safety risks and various environmental issues associated with food and agriculture, as well as attitudes to labelling policy. Overall, Canadians tended to see agricultural biotechnology as more of an environmental risk than a food risk and numbers of other food and environmental issues were seen to be more risky by many respondents. However the use of genetic modification/engineering in food production was seen as a very high risk issue by about one-fifth of respondents. Respondents also indicated a strong desire for public involvement in biotechnology policy, voted strongly for mandatory labeling and disagreed that labeling is not needed if the product's quality remains unchanged. An appreciable majority of respondents expressed a degree of skepticism concerning the use of voluntary labeling. The findings of this project have served as a basis for subsequent more extensive and detailed assessment of Canadian consumers' risk preferences and trade-offs in the context of specific product GM labelling policies.Demand and Price Analysis, Research and Development/Tech Change/Emerging Technologies,
What's it worth? An examination of historical trends and future directions in environmental valuation
No full textThe present paper reviews activity in environmental valuation by examining trends in publication rates over the past three decades. It also provides an overview of the demand for environmental valuation by academic markets and by policy markets. The results of this historical analysis suggest that there is not as much use of environmental valuation in policy analysis as could be expected given the academic efforts on this topic. The paper also provides an overview of the future directions that environmental valuation research is likely to take given current research efforts.Environmental Economics and Policy,
HABIT FORMATION AND VARIETY SEEKING IN A DISCRETE CHOICE MODEL OF RECREATION DEMAND
No full textThe recreational site choice decision modeled in most economic analyses seldom contains previous experience with the site as a characteristic or attribute. A rational dynamic model is used to incorporate previous experience with the site in a model of the choice of recreation sites. Based on the comparison of dynamic and static models, it is apparent that dynamic elements influence choice. The use of previous consumption as an attribute (either in a naïve or rational form) is an improvement over static models of choice. In welfare analysis, this effect may be a significant factor. For example, a change in prices or quality attributes may have a much larger impact on those individuals who have developed habits.Resource /Energy Economics and Policy,
Assessing the Impacts of Forest Management on Aboriginal Hunters: Evidence from Stated and Revealed Preference Data
No full textAssessing the impacts of forest harvesting activities on Aboriginal People and incorporating these considerations into forest management plans is one of the challenges facing Canadian forest managers. In this study we model hunting behavior using stated and revealed preference data on subsistence use of wildlife resources. We use this framework to assess the impacts of forest management changes on Aboriginal People in northwestern Saskatchewan. Innovative approaches to data collection are employed to address challenges in obtaining data in these contexts. The econometric analysis combines the stated and revealed preference information to account for limitations in the revealed preference data. Monetary measures of welfare are examined, but we also assess resource compensation and zoning as mechanisms for addressing the impact of forest harvesting on subsistence wildlife use. The results also demonstrate the use of GIS information in linking forest management and Aboriginal resource use.Forest management
A Random Utility Analysis of Southern Alberta Sportfishing
No full textResource /Energy Economics and Policy,
CONSUMER'S PERCEPTIONS OF ENVIRONMENTAL RISKS AND THE DEMAND FOR FOOD SAFETY
No full textPublic concern regarding food safety has emerged as a major policy issue. Chemicals and biotechnological processes are perceived as risks of food safety despite their contribution to an efficient, low cost agriculture and food industry. Increases in uses of biotechnological processes for foods are expected to be a major potential source of productivity improvements for Alberta and Canadian agriculture in future years. However, the demand for food safety involves increasing awareness and concern by consumers of chemical inputs and biotechnological processes in the agriculture and food industries. Nonetheless, there is a lack of basic economic and agricultural economic theory and methodology to analyze these issues and a need for policy, socioeconomics and marketing research on biotechnology and other environmental risk situations in the agricultural and food industry. This project was directed at developing and applying economic theory and methodology to help fill this gap. A major contribution of the project is the identification and verification of methodologies of stated choice to analyse tradeoffs arising from food safety perceptions of concerns by consumers. One component of the research project involved assessment of Alberta consumers' stated preferences and purchase behaviour for foods exhibiting a range of environmental risks, including perceptions of pesticide residues and hormonal treatments derived from biotechnological processes. The results of this survey indicated that Albertans were more concerned about pesticide use in food production than about the use of hormones. In contingent valuation questions developed for the study, more Albertans wish to restrict pesticide use (relative to a base case of not restricting either hormones or pesticides). They tended to persist in these choices in the face of potential increases in food costs, reflecting a higher level of concern with pesticides than hormones. Increasing education increased this concern. Increasing food cost decreased the probability of choosing to restrict pesticide or hormone use. Women appeared to perceive pesticide use in food production as a greater food safety risk than was perceived by men. The inferred average willingness to pay to restrict pesticide and growth hormone use in food production amounted to about 25% and 13% respectively of the average Albertan's food expenditures respectively. In the second survey of consumers' food/environmental risk perceptions undertaken relative to this project, the responses of a random sample of consumers to the use of recombinant bovine somatotrophin (rBST) in milk production were elicited using a stated preference methodology. A conditional logit model of consumer choice was developed and tested to analyse consumers' choices of milk with varying characteristics of fat content, price, freshness and rBST treatment. Awareness of rBST presence or otherwise is implied by labelling. The approach attempts to simulate market conditions with and without rBST labelled milk and to predict consumers' responses to variations in these conditions. Welfare calculations for a representative consumer indicate welfare losses with the introduction of rBST. These were slightly less for a male than a female household food purchaser and were less for food purchasers with higher levels of income and education. There was a small welfare gain when the representative food purchaser was offered a full range of "rBST" and "non-rBST" milks. The results suggest that making appropriately labelled "rBST-free" milk available to consumers could decrease consumer welfare losses associated with any introduction of rBST. The outcomes from application of these methodologies were related to the evidence of consumers' purchasing behaviour after licensing of the technology of rBST for use in the United States; this introduction did not require labelling. The assessment suggests a critical impact of product labelling policies and strategies on potential market impacts. An assessment is also made of Canada's food safety regulatory framework. The need for increased transparency and greater public participation in regulatory processes as means to increase public confidence in such food safety regulatory processes, specifically relating to biotechnology, is also identified.Food Consumption/Nutrition/Food Safety,
A SEQUENTIAL CHOICE MODEL OF RECREATION BEHAVIOR
No full textThe travel cost model is the standard model used in the recreation demand literature. This model assumes that the decision on the number of trips to a particular site in a given period (a season, for example) is determined at the beginning of the period. For certain types of recreation activity, this decision may be more appropriately modeled as a sequential process, in which the decision of whether or not to take each additional trip is made after previous trips have occurred. This decision is dependent on the realization of random variables on previous trips as well as travel costs. A model is developed in which the choice of a discrete number of sequentially chosen trips to a given site is specified as function of site-specific variables and variables realized on previous trips. This models advantage over the traditional travel cost model is that it specifies discrete, nonnegative integer values for the number of trips and allows intraseasonal effects to determine the probability of taking each additional trip.Resource /Energy Economics and Policy,
Integrating Routine, Variety Seeking and Compensatory Choice in a Utility Maximizing Framework
No full textGiven the large number of choices that consumers make each day it seems likely that they will generally adopt decision strategies that minimize cognitive effort, particularly with low price products such as most items found in a supermarket. One such strategy may be to simply choose what has been chosen in the past, i.e. to fall into a pattern of routine choices or decisions. In contrast, there may be preferences for variety in markets for low price, highly differentiated goods. We develop a conceptual and empirical model of routine choice, and the factors that result in transitions to two strategies other than routine selection, to wit, utility maximizing choice among available alternatives and a variety seeking strategy. The empirical approach we employ provides a mechanism for the examination of panel data that avoids the state dependence issues present in most applications to these types of data. We apply this framework to the choice of two food products that illustrate the heterogeneity across types of products in decision strategies and routine choice patterns.Choice modeling, routine behavior, variety‐seeking, panel data, Consumer/Household Economics, Demand and Price Analysis, Institutional and Behavioral Economics, D12, D03, C25,
Paying for Permanence: Public Preferences for Contaminated Site Cleanup
No full textWe use conjoint choice questions to investigate people’s preferences for income and reductions in mortality risks delivered by contaminated site remediation policies. Our survey is self-administered using the computer by residents of four cities in Italy with severely contaminated sites. We estimate the Value of a Statistical Life to be about €5.6 million for an immediate risk reduction. If the risk reduction takes place 20 years from now, however, the implied VSL is about €1.26 million. The discount rate implicit in the responses to the conjoint choice questions is about 7%. People are willing to pay for permanent risk reductions, but not just any amount. Risk reductions in the nearer future are valued more highly than risk reductions in the more distant future. We also find that the VSL is “individuated,” in the sense that it depends on observable individual characteristics of the respondents, familiarity with contaminated sites, concern about the health effects of exposure to toxicants, having a family member with cancer, perceived usefulness of possible government actions, and the respondent’s beliefs about the goals of government remediation programs. Additional questions suggest that respondents discount lives, and do so at a discount rate in the ballpark of that implicit in their risk v. money tradeoffs.Value of a Statistical Life, Latent Risk Reductions, Individual Discount Rates, Conjoint Choice Questions, Contaminated Sites, Remediation
- …
