IDEAS home Printed from https://ideas.repec.org/p/ags/iaae09/51918.html
   My bibliography  Save this paper

Valuing Animal Welfare Labels with Experimental Auctions: What do we learn from Consumers?

Author

Listed:
  • Gracia, Azucena
  • Loureiro, Maria L.
  • Nayga, Rodolfo M., Jr.

Abstract

In this paper two types of experimental auctions (endowment and full bidding) are used to elicit consumer preferences towards different labels providing information on animal welfare practices. The three types of labeling schemes evaluated are the comprehensive “animal welfare label”, the “good animal housing”, and the “good human-animal relation and transport conditions”. Our results suggest that there are no statistically significant differences in the elicited values across labelling schemes. However, there are clear differences across auction types. Bids elicited from auctions in which participants were endowed with the product are higher than those from auctions in which participants had to fully bid for the product. Recommendations and policy implications derived from our findings are discussed.

Suggested Citation

  • Gracia, Azucena & Loureiro, Maria L. & Nayga, Rodolfo M., Jr., 2009. "Valuing Animal Welfare Labels with Experimental Auctions: What do we learn from Consumers?," 2009 Conference, August 16-22, 2009, Beijing, China 51918, International Association of Agricultural Economists.
    • Handle: RePEc:ags:iaae09:51918
    DOI: 10.22004/ag.econ.51918
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/51918/files/iaae2009-28Nov2008_1_.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.51918?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. Shogren, Jason F. & Margolis, Michael & Koo, Cannon & List, John A., 2001. "A random nth-price auction," Journal of Economic Behavior & Organization, Elsevier, vol. 46(4), pages 409-421, December.
    2. Ty Feldkamp & Ted C. Schroeder, 2004. "Experimental Auction Procedure: Impact on Valuation of Quality Differentiated Goods," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(2), pages 389-405.
    3. repec:ken:wpaper:0601 is not listed on IDEAS
    4. Fredrik Carlsson & Peter Frykblom & Carl Johan Lagerkvist, 2007. "Consumer willingness to pay for farm animal welfare: mobile abattoirs versus transportation to slaughter," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 34(3), pages 321-344, September.
    5. Jay R. Corrigan & Matthew C. Rousu, 2006. "The Effect of Initial Endowments in Experimental Auctions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(2), pages 448-457.
    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. Li, Hao & Elbakidze, Levan, 2016. "Application of Regression Discontinuity Approach in Experimental Auctions: A Case Study of Gaining Participants’ Trust and Their Willingness to Pay," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236149, Agricultural and Applied Economics Association.
    2. Francesca Gerini & Frode Alfnes & Alexander Schjøll, 2016. "Organic- and Animal Welfare-labelled Eggs: Competing for the Same Consumers?," Journal of Agricultural Economics, Wiley Blackwell, vol. 67(2), pages 471-490, June.
    3. McKendree, Melissa G.S. & Olynk Widmar, Nicole & Ortega, David L. & Foster, Kenneth A., 2013. "Consumer Preferences for Verified Pork-Rearing Practices in the Production of Ham Products," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 38(3), pages 1-21.
    4. repec:oup:apecpp:v:40:y:2018:i:3:p:502-521. is not listed on IDEAS

    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. Loureiro, Maria L. & Gracia, Azucena & Nayga, Rodolfo M., 2013. "Do experimental auction estimates pass the scope test?," Journal of Economic Psychology, Elsevier, vol. 37(C), pages 7-17.
    2. Borrello, M. & Cecchini, L. & Vecchio, R. & Caracciolo, F. & Cembalo, L. & Torquati, B., 2022. "Agricultural landscape certification as a market-driven tool to reward the provisioning of cultural ecosystem services," Ecological Economics, Elsevier, vol. 193(C).
    3. Han, Doo Bong & Nayga, Rodolfo M., Jr. & Lee, Ji Yong & Yoon, Jong Min, 2012. "Assessing Korean Consumers’ Valuation for Domestic and Imported Rice: Importance of Country of Origin and Food Miles Information," 2012 Annual Meeting, February 4-7, 2012, Birmingham, Alabama 119817, Southern Agricultural Economics Association.
    4. Zhai, Qianqian & Kassas, Bachir & Zhao, Shuoli & Chen, Lijun & Chen, Chao, 2020. "Investigating Preference Inconsistencies in Incentive Structures that Account for House Money Effects," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304584, Agricultural and Applied Economics Association.
    5. Matthew C. Rousu & Robert H. Beach & Jay R. Corrigan, 2008. "The Effects of Selling Complements and Substitutes on Consumer Willingness to Pay: Evidence from a Laboratory Experiment," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 56(2), pages 179-194, June.
    6. Kyriaki Remoundou & Drichoutis Andreas & Phoebe Koundouri, 2010. "Warm glow in charitable auctions: Are the WEIRDos driving the results?," DEOS Working Papers 1028, Athens University of Economics and Business.
    7. Chavez, Daniel & Palma, Marco, 2015. "Off the reservation: Pushing the bounds of rationality in experimental auctions," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 202164, Agricultural and Applied Economics Association.
    8. Xue, Hong & Mainville, Denise Y. & You, Wen & Nayga, Rodolfo M., Jr., 2009. "Nutrition Knowledge, Sensory Characteristics and Consumers’ Willingness to Pay for Pasture-Fed Beef," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49277, Agricultural and Applied Economics Association.
    9. Levan Elbakidze & Rodolfo M. Nayga Jr. & Hao Li & Chris McIntosh, 2014. "Value elicitation for multiple quantities of a quasi-public good using open ended choice experiments and uniform price auctions," Agricultural Economics, International Association of Agricultural Economists, vol. 45(2), pages 253-265, March.
    10. repec:ken:wpaper:0601 is not listed on IDEAS
    11. Todd M. Schmit & Bradley J. Rickard & John Taber, 2013. "Consumer Valuation of Environmentally Friendly Production Practices in Wines, considering Asymmetric Information and Sensory Effects," Journal of Agricultural Economics, Wiley Blackwell, vol. 64(2), pages 483-504, June.
    12. Rousu, Matthew C. & Monchuk, Daniel C. & Shogren, Jason F. & Kosa, Katherine M., 2005. "Consumer Willingness to Pay for "Second-Generation" Genetically Engineered Products and the Role of Marketing Information," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 37(3), pages 1-11, December.
    13. Levan Elbakidze & Rodolfo M. Nayga, 2018. "The Adding-Up Test in an Incentivized Value Elicitation Mechanism: The Role of the Income Effect," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 71(3), pages 625-644, November.
    14. Demont, Matty & Zossou, Esperance & Rutsaert, Pieter & Ndour, Maimouna & Mele, Paul Van & Verbeke, Wim, 2011. "Willingness to Pay for Enhanced Food Quality: Rice Parboiling in Benin," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114443, European Association of Agricultural Economists.
    15. Wendy J. Umberger & Peter C. Boxall & R. Curt Lacy, 2009. "Role of credence and health information in determining US consumers' willingness-to-pay for grass-finished beef," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 53(4), pages 603-623, October.
    16. Morawetz, Ulrich B. & De Groote, Hugo & Kimenju, Simon Chege, 2011. "Improving the Use of Experimental Auctions in Africa: Theory and Evidence," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 36(2), pages 1-17, August.
    17. Jay R. Corrigan & Andreas C. Drichoutis & Jayson L. Lusk & Rodolfo M. Nayga & Matthew C. Rousu, 2012. "Repeated Rounds with Price Feedback in Experimental Auction Valuation: An Adversarial Collaboration," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 94(1), pages 97-115.
    18. Julieta Alejandra Rodriguez & Elsa Mirta Margarita Rodr?guez & Beatriz Lup?n, 2020. "Consumers? assessment of labelled and packaged fresh potato: Evidence from Experimental Auctions," Economia agro-alimentare, FrancoAngeli Editore, vol. 22(3), pages 1-19.
    19. Bruner, David M. & Huth, William L. & McEvoy, David M. & Morgan, O. Ashton, 2014. "Consumer Valuation of Food Safety: The Case of Postharvest Processed Oysters," Agricultural and Resource Economics Review, Cambridge University Press, vol. 43(2), pages 300-318, August.
    20. Colson, Gregory & Huffman, Wallace E. & Rousu, Matthew C., 2011. "Improving the Nutrient Content of Food through Genetic Modification: Evidence from Experimental Auctions on Consumer Acceptance," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 36(2), pages 1-22, August.
    21. McFadden, Jonathan R. & Huffman, Wallace E., 2017. "Consumer valuation of information about food safety achieved using biotechnology: Evidence from new potato products," Food Policy, Elsevier, vol. 69(C), pages 82-96.

    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:iaae09:51918. 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/iaaeeea.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.