Household‐Level Welfare Effects of Organic Milk Introduction

20 Pages Posted: 15 Apr 2020

See all articles by Hee-Jung Choi

Hee-Jung Choi

affiliation not provided to SSRN

Michael Wohlgenant

North Carolina State University - College of Agriculture and Life Sciences

Xiaoyong Zheng

North Carolina State University

Date Written: July 2013

Abstract

Using household scanner data and a discrete choice modeling approach, we estimate demand for milk products at the micro‐level and compute the distribution of welfare effects from introducing organic milk across households with different characteristics within the partial equilibrium framework. The price effects of introducing organic milk are larger for low‐income households than for high‐income households, and the differences in the variety effects of introducing organic milk to groups with various levels of education are larger than the differences in the variety effects among groups with different income levels. Policy implications of these findings are discussed.

Keywords: organic milk, welfare effects

Suggested Citation

Choi, Hee-Jung and Wohlgenant, Michael K. and Zheng, Xiaoyong, Household‐Level Welfare Effects of Organic Milk Introduction (July 2013). American Journal of Agricultural Economics, Vol. 95, Issue 4, pp. 1009-1028, 2013, Available at SSRN: https://ssrn.com/abstract=3573098 or http://dx.doi.org/10.1093/ajae/aat021

Hee-Jung Choi (Contact Author)

affiliation not provided to SSRN

No Address Available

Michael K. Wohlgenant

North Carolina State University - College of Agriculture and Life Sciences ( email )

Box 8109
233 C Nelson
Raleigh, NC 27695-8109
United States
919-515-4673 (Phone)
919-515-6268 (Fax)

Xiaoyong Zheng

North Carolina State University ( email )

Box 8109
3332 Nelson Hall
Raleigh, NC 27695-8109
United States
919-515-4543 (Phone)
919-515-6268 (Fax)

HOME PAGE: http://www4.ncsu.edu/~xzheng

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