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Consumer Willingness‐to‐Pay for Genetically Modified Potatoes in Ireland: An Experimental Auction Approach

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Listed:
  • Fiona Thorne
  • John A. (Sean) Fox
  • Ewen Mullins
  • Michael Wallace

Abstract

ABSTRACT It is recognized that many consumers are skeptical about genetically modified (GM) foods. Yet less is known about the extent to which consumers may purchase GM food products given suitable price positioning and marketing information on nonprice attributes of the products. In this study, we examine consumer acceptance of GM late blight resistant potatoes in Ireland. Our analysis uses an experimental auction methodology that facilitates positive and negative bids to provide a more complete revelation of preferences. Results show that a majority of participants preferred conventional potatoes to GM potatoes. Favorable information about GM increased subjects’ valuations of GM potatoes. After being informed about potential economic and health benefits, up to two‐thirds of our subjects indicated that they would choose GM potatoes at a 20% price discount, while 14% of subjects would still reject GM potatoes at any price. Higher levels of education, greater familiarity with GM, and the presence of children in the household were associated with lower valuation of the GM product. [EconLit citations: C91; D12].

Suggested Citation

  • Fiona Thorne & John A. (Sean) Fox & Ewen Mullins & Michael Wallace, 2017. "Consumer Willingness‐to‐Pay for Genetically Modified Potatoes in Ireland: An Experimental Auction Approach," Agribusiness, John Wiley & Sons, Ltd., vol. 33(1), pages 43-55, January.
    • Handle: RePEc:wly:agribz:v:33:y:2017:i:1:p:43-55
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    File URL: http://hdl.handle.net/10.1002/agr.21477
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    Cited by:

    1. Badio, Levenson & Zapata, Samuel D., 2024. "A Meta-Analysis of Consumer Willingness to Pay and Farmer Adoption Rates of Genetically Modified Crops," 2024 Annual Meeting, July 28-30, New Orleans, LA 343972, Agricultural and Applied Economics Association.
    2. Hu, Yang & House, Lisa A. & Gao, Zhifeng, 2022. "How do consumers respond to labels for crispr (gene-editing)?," Food Policy, Elsevier, vol. 112(C).
    3. Changxin Yu & Haiyan Deng & Ruifa Hu, 2019. "Attitude Gaps with Respect to GM Non-Food Crops and GM Food Crops and Confidence in the Government’s Management of Biotechnology: Evidence from Beijing Consumers, Chinese Farmers, Journalists, and Gov," Sustainability, MDPI, vol. 12(1), pages 1-19, December.
    4. Fan, Xiaoli & Muringai, Violet, 2018. "Effect of Information on Consumer Acceptance of Genetically Modified Potatoes in Canada," 2018 Annual Meeting, August 5-7, Washington, D.C. 274073, Agricultural and Applied Economics Association.
    5. Daniele Asioli & Adriana Mignani & Frode Alfnes, 2021. "Quick and easy? Respondent evaluations of the Becker–DeGroot–Marschak and multiple price list valuation mechanisms," Agribusiness, John Wiley & Sons, Ltd., vol. 37(2), pages 215-234, April.
    6. Yan Heng & Sungeun Yoon & Lisa House, 2021. "Explore Consumers’ Willingness to Purchase Biotechnology Produced Fruit: An International Study," Sustainability, MDPI, vol. 13(22), pages 1-10, November.

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