IDEAS home Printed from https://ideas.repec.org/a/ags/jlaare/30964.html
   My bibliography  Save this article

Beef Quality: Will Consumers Pay For Less Fat?

Author

Listed:
  • Unnevehr, Laurian J.
  • Bard, Sharon K.

Abstract

A nationwide retail survey is used to estimate hedonic prices of fat characteristics in beef table cuts. Results show that consumers consistently place a negative value on external fat for all table cuts and on seam fat in chuck and round cuts, but do not consistently value intramuscular fat. These consumer preferences are not transmitted to cattle feeders through price signals, even though the current beef grading system can distinguish carcasses with undesirable fat characteristics.

Suggested Citation

  • Unnevehr, Laurian J. & Bard, Sharon K., 1993. "Beef Quality: Will Consumers Pay For Less Fat?," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 18(2), pages 1-8, December.
    • Handle: RePEc:ags:jlaare:30964
    DOI: 10.22004/ag.econ.30964
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/30964/files/18020288.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.30964?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. James S. Eales & Laurian J. Unnevehr, 1988. "Demand for Beef and Chicken Products: Separability and Structural Change," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 70(3), pages 521-532.
    2. Rosen, Sherwin, 1974. "Hedonic Prices and Implicit Markets: Product Differentiation in Pure Competition," Journal of Political Economy, University of Chicago Press, vol. 82(1), pages 34-55, Jan.-Feb..
    3. Deborah H. Streeter & Steven T. Sonka & Michael A. Hudson, 1991. "Information Technology, Coordination, and Competitiveness in the Food and Agribusiness Sector," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(5), pages 1465-1471.
    4. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74(2), pages 132-132.
    5. Purcell, Wayne D., 1989. "The Case of Beef Demand: A Failure by the Discipline," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 4(2), pages 1-4.
    6. George W. Ladd & Veraphol Suvannunt, 1976. "A Model of Consumer Goods Characteristics," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 58(3), pages 504-510.
    7. Lucas, Robert E B, 1975. "Hedonic Price Functions," Economic Inquiry, Western Economic Association International, vol. 13(2), pages 157-178, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ward, Clement E. & Lusk, Jayson L. & Dutton, Jennifer M., 2008. "Implicit Value of Retail Beef Product Attributes," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 33(3), pages 1-18.
    2. Johnson, Heather C. & Ward, Clement E., 2006. "Impact of Beef Quality on Market Signals Transmitted by Grid Pricing," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 38(1), pages 1-14, April.
    3. Farrell, Terence C., 2009. "Identification of substitute groups for retail beef demand and supply equations," Australasian Agribusiness Review, University of Melbourne, Department of Agriculture and Food Systems, vol. 17, pages 1-10.
    4. Tey, (John) Yeong-Sheng & Shamsudin, Mad Nasir & Mohamed, Zainalabidin & Abdullah, Amin Mahir & Radam, Alias, 2008. "Demand for beef in Malaysia: Quality or Quantity?," MPRA Paper 15035, University Library of Munich, Germany.
    5. Schulz, Lee L. & Schroeder, Ted C. & White, Katharine L., 2012. "Value of Beef Steak Branding: Hedonic Analysis of Retail Scanner Data," Agricultural and Resource Economics Review, Cambridge University Press, vol. 41(2), pages 260-273, August.
    6. Boland, Michael A. & Schroeder, Ted C., 2002. "Marginal Value Of Quality Attributes For Natural And Organic Beef," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 34(1), pages 1-11, April.
    7. Yami, Alemu & Gelaw, Fekadu & Hinner, Koster & Siraw, Bewket, 2018. "Reorienting livestock production to respond to the meat quality requirements of high-end domestic and export markets," MPRA Paper 114984, University Library of Munich, Germany.
    8. Martinez, Stephen W., 2011. "Brand Premiums in the U.S. Beef Industry," Journal of Food Distribution Research, Food Distribution Research Society, vol. 42(2), pages 1-15, July.
    9. Smed, Sinne & Hansen, Lars Garn, 2018. "Consumer Valuation of Health Attributes in Food," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 43(2), May.
    10. Guijing WANG & Stanley M. FLETCHER & Dale H. CARLEY, "undated". "Determinants Of Demand For Beef: The Impact Of Fat Trimming," Department of Resource Economics Regional Research Project 95412, University of Massachusetts.
    11. McVey, Marty Jay, 1996. "Valuing quality differentiated grains from a total logistics perspective," ISU General Staff Papers 1996010108000012326, Iowa State University, Department of Economics.
    12. Min-Yang Lee, 2014. "Hedonic Pricing of Atlantic Cod: Effects of Size, Freshness, and Gear," Marine Resource Economics, University of Chicago Press, vol. 29(3), pages 259-277.
    13. Nishikant Mishra & Akshit Singh, 2018. "Use of twitter data for waste minimisation in beef supply chain," Annals of Operations Research, Springer, vol. 270(1), pages 337-359, November.
    14. Martinez, Stephen W., 2008. "Estimating the Value of Retail Beef Product Brands and Other Attributes," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6455, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    15. Tronstad, Russell, 1995. "Importance Of Melon Type, Size, Grade, Container, And Season In Determining Melon Prices," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 20(1), pages 1-10, July.
    16. N. Koffi Amegbeto & Victor M. Manyong & Ousmane Coulibaly & Robert Asiedu, 2008. "Estimating market demand for fresh yam characteristics using contingent valuation: implications for crop breeding and production choices," Agricultural Economics, International Association of Agricultural Economists, vol. 39(3), pages 349-363, November.
    17. Shongwe, M.A. & Jooste, Andre & Hugo, A. & Alemu, Zerihun Gudeta & Pelser, A., 2007. "Will consumers pay less for fat on beef cuts? The case in Bloemfontein, South Africa," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 46(4), pages 1-19, December.
    18. Farrell, Terence C., 2001. "Modelling Meat Quality Attributes," 2001 Conference (45th), January 23-25, 2001, Adelaide, Australia 125624, Australian Agricultural and Resource Economics Society.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Smed, Sinne & Hansen, Lars Garn, 2018. "Consumer Valuation of Health Attributes in Food," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 43(2), May.
    2. Laurian J. Unnevehr & Fatoumata C. Gouzou, 1998. "Retail premiums for honey characteristics," Agribusiness, John Wiley & Sons, Ltd., vol. 14(1), pages 49-54.
    3. Jordan, Jeffery L. & Shewfelt, R.L. & Prussia, S.E. & Myers, S., 1986. "Estimatin ihe Value of Peach Quality Characteristics Jeffrey L. Jordan, R. L. Shewfelt, S. E. Prussia, S. Myers," 1986 Annual Meeting, July 27-30, Reno, Nevada 278034, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    4. Brockmeier, M., 1991. "Entwicklung und Aufhebung von Reinheitsgeboten im Nahrungsmittelbereich – Analyse und Bewertung," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 27.
    5. McVey, Marty Jay, 1996. "Valuing quality differentiated grains from a total logistics perspective," ISU General Staff Papers 1996010108000012326, Iowa State University, Department of Economics.
    6. Zvi Griliches, 1991. "Hedonic Price Indexes and the Measurement of Capital and Productivity: Some Historical Reflections," NBER Chapters, in: Fifty Years of Economic Measurement: The Jubilee of the Conference on Research in Income and Wealth, pages 185-206, National Bureau of Economic Research, Inc.
    7. LaFrance, Jeffrey T., 1999. "U.S. Food and Nutrient Demand and the Effects of Agricultural Policies," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt52h9v4dq, Department of Agricultural & Resource Economics, UC Berkeley.
    8. Alessandro Bonanno, 2016. "A Hedonic Valuation of Health and Nonhealth Attributes in the U.S. Yogurt Market," Agribusiness, John Wiley & Sons, Ltd., vol. 32(3), pages 299-313, July.
    9. Utami, Anisa & Harianto, Harianto & Krisnamurthi, Bayu, 2021. "Price Interdependence in Indonesian Rice Market in the Presence of Quality Differential," 2021 Conference, August 17-31, 2021, Virtual 315229, International Association of Agricultural Economists.
    10. Carlson, Andrea & Jaenicke, Edward, 2016. "Changes in Retail Organic Price Premiums from 2004 to 2010," Economic Research Report 242448, United States Department of Agriculture, Economic Research Service.
    11. Chenhall, D. & Fraser, R.W. & Lloyd-Smith, J., 1990. "Beef Quality Preferences in Western Australia," Discussion Papers 232272, University of Western Australia, School of Agricultural and Resource Economics.
    12. N. Koffi Amegbeto & Victor M. Manyong & Ousmane Coulibaly & Robert Asiedu, 2008. "Estimating market demand for fresh yam characteristics using contingent valuation: implications for crop breeding and production choices," Agricultural Economics, International Association of Agricultural Economists, vol. 39(3), pages 349-363, November.
    13. Hyberg, Bengt & Uri, Noel D. & Oliveira, Valencia, 1996. "The quality characteristics of Japanese soybean imports," Japan and the World Economy, Elsevier, vol. 8(1), pages 81-98, March.
    14. Kesavan, Thulasiram, 1988. "Monte Carlo experiments of market demand theory," ISU General Staff Papers 198801010800009854, Iowa State University, Department of Economics.
    15. Gulseven, Osman & Wohlgenant, Michael K., 2010. "A Hedonic Metric Approach to Estimating the Demand for Differentiated Products: An Application to Retail Milk Demand," 84th Annual Conference, March 29-31, 2010, Edinburgh, Scotland 91675, Agricultural Economics Society.
    16. Edmeades, Svetlana, 2005. "A Hedonic Perspective to Estimating a Marginal Value Function for a Subsistence Crop," 2005 Annual meeting, July 24-27, Providence, RI 19500, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    17. Huang, Chung L. & Lin, Biing-Hwan, 2006. "A Hedonic Analysis on the Implicit Values of Fresh Tomatoes," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25404, International Association of Agricultural Economists.
    18. Chavas, Jean-Paul & Cox, Thomas L. & Jesse, Edward V., 1993. "Spatial Hedonic Pricing and Trade," Staff Papers 200574, University of Wisconsin-Madison, Department of Agricultural and Applied Economics.
    19. Olivier Marchand & Eric Skhiri, 1995. "Prix hédoniques et estimation d'un modèle structurel d'offre et de demande de caractéristiques [Une application au marché de la location de logements en France ]," Économie et Prévision, Programme National Persée, vol. 121(5), pages 127-140.
    20. Parket, Douglas & Zilberman, David, 1989. "Price Transmission Across Marketing Levels in a Hedonic Framework," CUDARE Working Papers 198498, University of California, Berkeley, Department of Agricultural and Resource Economics.

    More about this item

    Keywords

    Consumer/Household Economics;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:jlaare:30964. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/waeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.