Discrete Choice Modeling of Consumer Preferences for Sustainably Produced Steak and Apples

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"Sustainably produced" food labels have rapidly grown in popularity over the past decade (Batte 2011). Moreover, because there is no government agency overseeing certification of these production methods, consumers are generally confused about the production attributes that may or may not be present in a sustainable food system. This paper analyzes data from a hypothetical choice experiment to better understand consumer purchasing behavior when faced with competing food production attributes such as "organic" and "local". We seek to estimate preferences for "sustainably produced" food products and determine how they may be affected by varying degrees of information about sustainable agricultural systems. Additionally, the willingness to pay measurements estimated in this paper provide insight into the trade-offs perceived between current eco-labeling schemes, and the potential for differentiating "sustainably produced" products from their "organic" and "local" counterparts.

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