Abstract
Experimental auctions were employed to investigate U.S. and Canadian consumers' willingness to pay for sustainable attributes in plants. The results show consumers are willing to pay a price premium for energy and water savings in plant production of $0.15 and $0.12, respectively. Consumers are only willing to pay $0.08 more for sustainably labeled product. Latent class segmentation analysis identifies three distinct consumer segments: Import-Liking, Mainstream, and Eco-local. Mainstream Consumers were the largest segment and willing to pay only modest premiums for eco-friendly attributes. Eco-local consumers comprised 14% of consumers and they were willing to pay the highest amount for the improved production methods and container types, while having the highest willing to pay for local and domestic products. [EconLit citations: D44, M31].
Original language | English (US) |
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Pages (from-to) | 222-235 |
Number of pages | 14 |
Journal | Agribusiness |
Volume | 32 |
Issue number | 2 |
DOIs | |
State | Published - Mar 1 2016 |
Bibliographical note
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