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Revealed Demand for Country-of-Origin Labeling of Meat in the United States

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  • Taylor, Mykel R.
  • Tonsor, Glynn T.

Abstract

Proponents of the U.S. mandatory country-of-origin labeling (MCOOL) law have argued that consumers prefer domestic meat and value labels confirming domestic origin. Following legislation enacted in March 2009, an ex post analysis of demand is possible to evaluate relative costs and benefits of MCOOL. This study uses retail grocery-store scanner data to estimate a Rotterdam demand model of meat products. The model results failed to detect changes in consumer meat demand post-MCOOL. Given the costs of compliance incurred by meat processors and no evidence of increased demand, our results suggest that producers and consumers have experienced a welfare loss.

Suggested Citation

  • Taylor, Mykel R. & Tonsor, Glynn T., 2013. "Revealed Demand for Country-of-Origin Labeling of Meat in the United States," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 38(2), pages 1-13, August.
    • Handle: RePEc:ags:jlaare:158287
    DOI: 10.22004/ag.econ.158287
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    2. Shang, Xia & Tonsor, Glynn T., 2017. "Food safety recall effects across meat products and regions," Food Policy, Elsevier, vol. 69(C), pages 145-153.
    3. Maples, Joshua G. & Lusk, Jayson L. & Peel, Derrell S., 2018. "Unintended consequences of the quest for increased efficiency in beef cattle: When bigger isn’t better," Food Policy, Elsevier, vol. 74(C), pages 65-73.
    4. Yeboah, Osei Agyemang & Naanwaab, Cephas B. & Otchere, Richmond, 2015. "Demand for Beef Associated with Country of Origin Labeling," 2015 Annual Meeting, January 31-February 3, 2015, Atlanta, Georgia 196859, Southern Agricultural Economics Association.
    5. Franklin Bailey Norwood & Glynn Tonsor & Jayson L Lusk, 2019. "I Will Give You My Vote but Not My Money: Preferences for Public versus Private Action in Addressing Social Issues," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 41(1), pages 96-132, March.
    6. Hussein, Mohamud & Fraser, Iain & Costanigro, Marco, 2016. "Hedonic Analysis of Origin of Meat In The United Kingdom," 90th Annual Conference, April 4-6, 2016, Warwick University, Coventry, UK 236353, Agricultural Economics Society.
    7. Clinton L. Neill & Rodney B. Holcomb & Jayson L. Lusk, 2020. "Estimating potential beggar‐thy‐neighbor effects of state labeling programs," Agribusiness, John Wiley & Sons, Ltd., vol. 36(1), pages 3-19, January.
    8. Jason M. Bienenfeld & Elizabeth R. Botkins & Brian E. Roe & Marvin T. Batte, 2016. "Country of origin labeling for complex supply chains: the case for labeling the location of different supply chain links," Agricultural Economics, International Association of Agricultural Economists, vol. 47(2), pages 205-213, March.
    9. Jeon, Younghyeon & Hoang, Hoa K. & Thompson, Wyatt & Abler, David & Miller, J. Isaac, 2022. "Revealing the fundamental parameters of a food demand system using estimated elasticities," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322182, Agricultural and Applied Economics Association.
    10. Kayode Ajewole & Elliott Dennis & Ted C. Schroeder & Jason Bergtold, 2021. "Relative valuation of food and non‐food risks with a comparison to actuarial values: A best–worst approach," Agricultural Economics, International Association of Agricultural Economists, vol. 52(6), pages 927-943, November.
    11. Alexander J. Stein & Marcelo Lima, 2022. "Sustainable food labelling: considerations for policy-makers," Review of Agricultural, Food and Environmental Studies, Springer, vol. 103(2), pages 143-160, June.
    12. Countryman, Amanda M. & Bonanno, Alessandro & Hadrich, Joleen, 2016. "A COOL Repeal: Potential Outcomes of U.S. Mandatory Country of Origin Labeling Requirements on Dairy and Beef Sectors," Conference papers 330172, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    13. Keith Walley & Paul Custance & Tan Feng & Xu Yang & Li Cheng & Sandra Turner, 2014. "The Influence of Country of Origin on Chinese Food Consumers," Transnational Marketing Journal, Oxbridge Publishing House, UK, vol. 2(2), pages 78-98, October.
    14. Edgar E. Twine & James Rude & Jim Unterschultz, 2016. "Country of Origin Labeling and Structural Change in U.S. Imports of Canadian Cattle and Beef," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 64(3), pages 545-563, September.
    15. Amanda M Countryman & Alessandro Bonanno, 2020. "A COOL Tale: Economic Effects of the U.S. Mandatory Country of Origin Labeling Repeal," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 42(4), pages 888-912, December.
    16. Luqing Yu & Sungeun Yoon & Qianyan Wu & Zhifeng Gao & Stephanie Hricik & Renee Goodrich‐Schneider & Charles Sims & Yu Wang, 2023. "Modernizing standards of identity for juice: Evidence from consumer acceptance of orange juice blend," Journal of Consumer Affairs, Wiley Blackwell, vol. 57(3), pages 1377-1394, July.
    17. Heng, Yan & House, Lisa, 2016. "A Composite Demand Analysis for the Beverage Market," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235704, Agricultural and Applied Economics Association.
    18. Zhaoxin Liu & Erik Ansink, 2024. "Price elasticities of meat, fish and plant-based meat substitutes: evidence from store-level Dutch supermarket scanner data," Tinbergen Institute Discussion Papers 24-046/VIII, Tinbergen Institute.
    19. Jayson L. Lusk & Glynn T. Tonsor, 2016. "How Meat Demand Elasticities Vary with Price, Income, and Product Category," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 38(4), pages 673-711.
    20. Bonanno, Alessandro & Countryman, Amanda & Hadrich, Joleen, 2016. "A COOL Repeal: Potential Outcomes of U.S. Mandatory Country of Origin Labeling Requirements on Dairy and Beef Sectors," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236020, Agricultural and Applied Economics Association.
    21. Jason Winfree, 2024. "Food Origin Labeling and “Promoting Competition”," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 64(2), pages 267-287, March.

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