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Demand for Organic and Conventional Fruits

Author

Listed:
  • Lin, Biing-Hwan
  • Yen, Steven T.
  • Huang, Chung L.

Abstract

We examine consumer demand for organic and conventional fruits by estimating a censored demand system, using Nielsen's Homescan data. Sociodemographic characteristics and income are found to be significant factors of organic fruit consumption. Consumers are responsive to own-price changes in selected organic fruits, while the own-price elasticities for conventional fruits are much smaller. Asymmetric cross-price effects are found between organic and conventional fruits, suggesting that a change in relative prices will more likely cause consumers of conventional fruits to "cross-over" to organic fruits, while the reverse is less likely to happen such that organic consumers will "revert" to conventional fruits.

Suggested Citation

  • Lin, Biing-Hwan & Yen, Steven T. & Huang, Chung L., 2008. "Demand for Organic and Conventional Fruits," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6440, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea08:6440
    DOI: 10.22004/ag.econ.6440
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    Citations

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    Cited by:

    1. Schrock, Rebecca, 2010. "Determinants Of The Demand For Organic And Conventional Fresh Milk In Germany– An Econometric Analysis," 115th Joint EAAE/AAEA Seminar, September 15-17, 2010, Freising-Weihenstephan, Germany 116387, European Association of Agricultural Economists.
    2. Springer, Job D. & Biermacher, Jon T. & Childs, M. Dan & Alkire, Deke O. & Grooms, Brandon, 2009. "Attributes Preferred and Premiums Offered for Naturally Produced Beef Cattle," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46859, Southern Agricultural Economics Association.
    3. Steven T. Yen & Andrew K.G. Tan & Rodolfo M. Nayga Jr, 2011. "Determinants of fruit and vegetable consumption in Malaysia: an ordinal system approach," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 55(2), pages 239-256, April.
    4. Schroeck, Rebecca, 2011. "Wie sensibel reagieren deutsche Verbraucher auf Preisänderungen bei Bio-Eiern? Eine Nachfrageanalyse mit Haushaltspanel-Daten," 51st Annual Conference, Halle, Germany, September 28-30, 2011 114492, German Association of Agricultural Economists (GEWISOLA).
    5. Schröckl, R., 2012. "Wie sensibel reagieren deutsche Verbraucher auf Preisänderungen bei Bio- Eiern? Eine Nachfrageanalyse mit Haushaltspanel-Daten," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 47, March.

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