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Fairness to dairy cows or fairness to farmers: What counts more in the preferences of conventional milk buyers for ethical attributes of milk?

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  • Markova-Nenova, Nonka
  • Wätzold, Frank

Abstract

We investigate the willingness-to-pay (WTP) of German conventional milk buyers for ethical attributes of milk production through a choice experiment. Respondents have the highest WTP for animal welfare – free-stall plus summer pasture – followed by biodiversity conservation, support for small, below-average-income farms, and regional milk production. Respondents also have a positive WTP to support all farms but only in combination with regional production. We further find a positive WTP to support small farms in combination with tethering. This implies animal-welfare concerns are somewhat counterbalanced by fairness aspects. Our insights may support developing labels for ethical aspects of milk production.

Suggested Citation

  • Markova-Nenova, Nonka & Wätzold, Frank, 2017. "Fairness to dairy cows or fairness to farmers: What counts more in the preferences of conventional milk buyers for ethical attributes of milk?," MPRA Paper 83066, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:83066
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    References listed on IDEAS

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    More about this item

    Keywords

    dairy production; ethical attributes; fairness; choice modelling; latent class model; biodiversity; grassland;
    All these keywords.

    JEL classification:

    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy
    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics

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