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Article
Interaction Between Food Attributes in Markets: The Case of Environmental Labeling
Journal of Agricultural and Resource Economics (2007)
  • Gillies Grolleau
  • Julie Caswell, University of Massachusetts - Amherst
Abstract

Some consumers derive utility from using products produced with specific processes, such as environmentally friendly practices. Means of verifying these credence attributes, such as certification, are necessary for the market to function effectively. A substitute or complementary solution may exist when consumers perceive a relationship between a process attribute and other verifiable product attributes. We present a model where the level of search and experience attributes influences the likelihood of production of eco-friendly products. Our results suggest that the market success of eco-friendly food products requires a mix of environmental and other verifiable attributes that together signal credibility.

Keywords
  • environmental labeling,
  • food attributes,
  • foodmarketing,
  • quality perception
Disciplines
Publication Date
2007
Citation Information
Gillies Grolleau and Julie Caswell. "Interaction Between Food Attributes in Markets: The Case of Environmental Labeling" Journal of Agricultural and Resource Economics Vol. 31 Iss. 3 (2007)
Available at: http://works.bepress.com/julie_caswell/9/