IDEAS home Printed from https://ideas.repec.org/p/hhs/lunewp/2013_021.html
   My bibliography  Save this paper

The Impact of Price Reductions on Individuals' Choice of Healthy Meals Away from Home

Author

Listed:

Abstract

Food high in energy but low in nutritional value is an important contributor to several serious illnesses, and one type of food that is particularly high in energy but low in nutrition is food consumed away from home. In this paper, we examine the demand and willingness to pay for healthy, Keyhole-labelled meals. A Keyhole-labelled meal is particularly low in calories, fat, sugar and salt, but particularly high in fibre. The results suggest that to get the majority of individuals to choose the healthy option regularly it would be necessary to alter the relative price between healthy and less healthy meals. Generally groups of individuals with a poor nutritional intake require a larger compensation (subsidy) before they choose the healthy alternative. About one third of respondents would choose the healthy option regularly if the prices for a healthy and less healthy meal were the same. In particular groups of individuals who already have a relatively good nutritional intake would select the healthy option. Groups with a generally poor nutritional intake (men and individuals with lower education and lower income) would gain health benefits from a subsidy of Keyhole-labelled meals.

Suggested Citation

  • Nordström, Jonas & Thunström, Linda, 2013. "The Impact of Price Reductions on Individuals' Choice of Healthy Meals Away from Home," Working Papers 2013:21, Lund University, Department of Economics.
  • Handle: RePEc:hhs:lunewp:2013_021
    as

    Download full text from publisher

    File URL: http://project.nek.lu.se/publications/workpap/papers/WP13_21.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Lin, Biing-Hwan & Guthrie, Joanne & Frazao, Elizabeth, 2001. "American Children's Diets Not Making the Grade," Food Review/ National Food Review, United States Department of Agriculture, Economic Research Service, vol. 24(2), pages 1-10.
    2. Thunström, Linda & Nordström, Jonas, 2011. "Does Easily Accessible Nutritional Labelling Increase Consumption of Healthy Meals away from Home? A Field Experiment Measuring the Impact of a Point-of-Purchase Healthy Symbol on Lunch Sales," Working Papers 2011:35, Lund University, Department of Economics.
    3. Barbara Wagner & Benjamin Senauer & C. Ford Runge, 2007. "An Empirical Analysis of and Policy Recommendations to Improve the Nutritional Quality of School Meals," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(4), pages 672-688.
    4. Chou, Shin-Yi & Grossman, Michael & Saffer, Henry, 2004. "An economic analysis of adult obesity: results from the Behavioral Risk Factor Surveillance System," Journal of Health Economics, Elsevier, vol. 23(3), pages 565-587, May.
    5. Julie S. Downs & George Loewenstein & Jessica Wisdom, 2009. "Strategies for Promoting Healthier Food Choices," American Economic Review, American Economic Association, vol. 99(2), pages 159-164, May.
    6. Rashad, Inas, 2006. "Structural estimation of caloric intake, exercise, smoking, and obesity," The Quarterly Review of Economics and Finance, Elsevier, vol. 46(2), pages 268-283, May.
    7. French, S.A. & Jeffery, R.W. & Story, M. & Breitlow, K.K. & Baxter, J.S. & Hannan, P. & Snyder, M.P., 2001. "Pricing and promotion effects on low-fat vending snack purchases: The CHIPS study," American Journal of Public Health, American Public Health Association, vol. 91(1), pages 112-117.
    8. Pulos, E. & Leng, K., 2010. "Evaluation of a voluntary menu-labeling program in full-service restaurants," American Journal of Public Health, American Public Health Association, vol. 100(6), pages 1035-1039.
    9. Greene,William H. & Hensher,David A., 2010. "Modeling Ordered Choices," Cambridge Books, Cambridge University Press, number 9780521194204, September.
    10. Lin, Biing-Hwan & Frazao, Elizabeth & Guthrie, Joanne F., 1999. "Away-From-Home Foods Increasingly Important to Quality of American Diet," Agricultural Information Bulletins 33733, United States Department of Agriculture, Economic Research Service.
    Full references (including those not matched with items 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. Thunstrom, Linda & Nordstrom, Jonas & Shogren, Jason F., 2016. "Healthy meals on the menu: A Swedish field experiment on labelling and restaurant sales," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 11(1), pages 1-6, March.
    2. Georgia S. Papoutsi & Andreas C. Drichoutis & Rodolfo M. Nayga Jr., 2013. "The Causes Of Childhood Obesity: A Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 27(4), pages 743-767, September.
    3. Buttet, Sebastien & Dolar, Veronika, 2015. "Toward a quantitative theory of food consumption choices and body weight," Economics & Human Biology, Elsevier, vol. 17(C), pages 143-156.
    4. Chouinard, Hayley H & Davis, David E. & LaFrance, Jeffrey T. & Perloff, Jeffrey M, 2005. "The Effects of a Fat Tax on Dairy Products," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt60t1f3tn, Department of Agricultural & Resource Economics, UC Berkeley.
    5. Brown, Sarah & Greene, William H. & Harris, Mark N., 2014. "A New Formulation for Latent Class Models," IZA Discussion Papers 8283, Institute of Labor Economics (IZA).
    6. Charles J. Courtemanche & Joshua C. Pinkston & Christopher J. Ruhm & George L. Wehby, 2016. "Can Changing Economic Factors Explain the Rise in Obesity?," Southern Economic Journal, John Wiley & Sons, vol. 82(4), pages 1266-1310, April.
    7. Rashad, Inas, 2008. "Height, health, and income in the US, 1984-2005," Economics & Human Biology, Elsevier, vol. 6(1), pages 108-126, March.
    8. John Komlos & Marek Brabec, 2010. "The Trend of Mean BMI Values of US Adults, Birth Cohorts 1882-1986 Indicates that the Obesity Epidemic Began Earlier than Hitherto Thought," NBER Working Papers 15862, National Bureau of Economic Research, Inc.
    9. Alois Stutzer & Armando N. Meier, 2016. "Limited Self‐control, Obesity, and the Loss of Happiness," Health Economics, John Wiley & Sons, Ltd., vol. 25(11), pages 1409-1424, November.
    10. Schroeter, Christiane & Lusk, Jayson & Tyner, Wallace, 2008. "Determining the impact of food price and income changes on body weight," Journal of Health Economics, Elsevier, vol. 27(1), pages 45-68, January.
    11. Huffman, Sonya K. & Rizov, Marian, 2008. "The Rise of Obesity in Transition Economies: Theory and Evidence from the Russian Longitudinal Monitoring Survey," ISU General Staff Papers 200801010800001013, Iowa State University, Department of Economics.
    12. Thunström, Linda & Nordström, Jonas, 2011. "Does Easily Accessible Nutritional Labelling Increase Consumption of Healthy Meals away from Home? A Field Experiment Measuring the Impact of a Point-of-Purchase Healthy Symbol on Lunch Sales," Working Papers 2011:35, Lund University, Department of Economics.
    13. Chavas, Jean-Paul, 2013. "On the microeconomics of food and malnutrition under endogenous discounting," European Economic Review, Elsevier, vol. 59(C), pages 80-96.
    14. Huffman, Sonya K. & Rizov, Marian, 2007. "Determinants of obesity in transition economies: The case of Russia," Economics & Human Biology, Elsevier, vol. 5(3), pages 379-391, December.
    15. Burkhauser, Richard V. & Cawley, John & Schmeiser, Maximilian D., 2009. "The timing of the rise in U.S. obesity varies with measure of fatness," Economics & Human Biology, Elsevier, vol. 7(3), pages 307-318, December.
    16. Courtemanche, Charles & Tchernis, Rusty & Ukert, Benjamin, 2018. "The effect of smoking on obesity: Evidence from a randomized trial," Journal of Health Economics, Elsevier, vol. 57(C), pages 31-44.
    17. Dragone, Davide & Savorelli, Luca, 2012. "Thinness and obesity: A model of food consumption, health concerns, and social pressure," Journal of Health Economics, Elsevier, vol. 31(1), pages 243-256.
    18. Wehby, George L. & Murray, Jeffrey C. & Wilcox, Allen & Lie, Rolv T., 2012. "Smoking and body weight: Evidence using genetic instruments," Economics & Human Biology, Elsevier, vol. 10(2), pages 113-126.
    19. Morales, Leonardo Fabio & Gordon-Larsen, Penny & Guilkey, David, 2016. "Obesity and health-related decisions: An empirical model of the determinants of weight status across the transition from adolescence to young adulthood," Economics & Human Biology, Elsevier, vol. 23(C), pages 46-62.
    20. Sarah Brown & William Greene & Mark Harris, 2020. "A novel approach to latent class modelling: identifying the various types of body mass index individuals," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 183(3), pages 983-1004, June.

    More about this item

    Keywords

    subsidy; food demand; food away from home; healthy; restaurant;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:hhs:lunewp:2013_021. 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: Iker Arregui Alegria (email available below). General contact details of provider: https://edirc.repec.org/data/delunse.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.