Micro versus macro consumption data: the cyclical properties of the consumer expenditure survey

The Consumer Expenditure Survey (CEX) offers the most comprehensive consumption data at the consumer level for the United States. Several previous studies have shown a large gap between per-capita consumption from the CEX and the aggregate Personal Consumption Expenditure (PCE) series. While previous research has focused on consumption levels, we focus on the cyclical properties of consumption. We find that the cyclical properties of consumption expenditure data from the two sources are quantitatively very different. This result calls for caution when using CEX data for business cycle research.     

Who is Looking for Nutritional Food Labels?: Wer sucht nach Nährwertangaben auf Lebensmitteln?: Mais qui donc s'occupe du contenu nutritionnel sur les étiquettes?

Who is Looking for Nutritional Food Labels? Obesity amongst the population in Europe is increasing at an alarming rate. Consequently, nutritional and lifestyle factors are implicated in the huge increase in several chronic diseases in Europe. The Southern Europeans tend to be amongst the worst, mth Greece being first in adult obesity mainly due to the replacement of the Mediterranean diet with ready‐made and fast foods. People want to see change towards an environment that makes it easier to make healthy choices. The EU, in order to assist consumers make healthy food choices, tried to make nutritional information available to consumers through a food labelling law framework, which currently works on a voluntary basis with the perspective to change towards a mandatory system. We conducted a study in Greece in order to assess consumer use of nutritional food labels and determine which consumers use certain types of nutrient content information. We found that almost a third of consumers often use food labels and these are the more educated, who are more nutritionally knowledgeable. Many others do not, and to increase their chances of reading the labels one should improve their knowledge of nutrition havlng in mind that they are not big users of the media but get their information from informd sources. Mais qui donc s'occupe du contenu nutritionnel sur les etiquettes? La prevalence de I'obesitk augmente a un t a u toujours plus preoccupant en Europe. Les facteurs nutritionnels et les styles de vie sont par consequent impliquks dans l'Cnorme accroissement constati: de diverses pathologies chroniques. La situation est specialement mauvaise en Europe du sud, ou la Grece detient le record du taux d'obesite dans la population adulte, en particulier du fait du remplacement du fameux ‘regime mediterraneen’ par les plats prepares et la restauration rapide. Les gens souhaitent un environnement susceptible de leur faciliter le choix d'une alimentation saine. C'est pour cela que l'Union europkenne a tente de mettre des informations nutritionnelles a la disposition des consommateurs, en instituant un cadre legal pour l'etiquetage alimentaire Il fonctionne actuellement sur la base du volontariat, mais il a pour vocation d'evoluer vers un systeme obligatoire. Il est rendu compte ici d'une enquOte effectuee en Grkce pour determiner quels types de consommateurs utilisent quels genres dindications de contenu nutritionnel portees sur les etiquettes alimentaires, et dans quelle mesure. Environ un tiers des consommateurs utilisent souvent les contenus nutritionnels. Ce sont les plus eduques et les mieux informks. La plupart des autres negligent les etiquettes. Pour accroitre les chances que ces dernieres soient lues, il faudrait donc arneliorer les connaissances nutritionnelles, en gardant a l'esprit que les personnes concernkes utilisent peu les mkdias et tirent leurs informations de sources informelles. Wer sucht nach Nährwertangaben auf Die Fettleibigkeit in der europaischen Bevolkerung nimmt alarmierend schnell zu. Folglich spiegeln sich Ernahrung und Lebensstil in dem hohen Anstieg zahlreicher chronischer Erkrankungen in Europa wider. Fur die Sudeuropaer ergeben sich einige der schlechtesten Werte, wobei in Griechenland die Erwachsenenfettleibigkeit am ausgepriigtesten ist. Dies liegt hauptsachlich daran, dass die mediterrane Erniihrung von Fertiggerichten und Fast‐Food abgelost wurde. Die Bevolkerung wiinscht sich eine Veriinderung hin zu einer Umgebung, die sie darin unterstutzt, der Gesundheit zutr;dgliche Entscheidungen zu treffen. Die EU wollte den Verbrauchern gesundheitlich relevante Informationen durch eine Kennzeichnung der Inhaltsstoffe der Lebensmittel verschaffen. Dieses System sieht gegenwartig lediglich eine freiwillige Kennzeichnung vor, ist aber als obligatorisch geplant. Wir fiihrten in Griechenland eine Studie durch, um zu beurteilen, inwiefern Nahrwertangaben auf Lebensmitteln den Verbrauchern nutzen, und um festzustellen, welche Verbraucher auf bestimmte Nahrwertangaben achten. Wir fanden heraus, dass beinahe ein Drittel aller Verbraucher auf die Lebensmittelkennzeich nung achten. Diese Verbraucher verfiigen uber eine hohere Bildung und kennen sich in Erniihrungsfragen relativ gut aus. Ein großer Anted der Verbraucher verfiigt uber keinerlei gesundheitliche Grundkenntnisse; um diesen Verbrauchern das Lesen der Etiketten zu ermoglichen, sollte man ihre Kenntnisse in Sachen Ernahrung verbessern und sich dabei vor Augen fiihren, dass diese Verbraucher die Medien nicht allzu intensiv nutzen, sondern ihre Informationen aus informellen Quellen beziehen.     

Determinants of fruit and vegetable consumption in Malaysia: an ordinal system approach*

We examine the socio‐demographic determinants of fruit and vegetable consumption using household survey data from Malaysia. A bivariate ordered probability model is developed by the copula approach. Results for a system of fruit and vegetable servings per week indicate that education, age, ethnicity, income, location of residence, smoking status and health conditions are significant predictors of fruit and vegetable consumption in Malaysia. Policy implications are suggested.     

A Consistent Econometric Test for Bid Interdependence in Repeated Second-Price Auctions with Posted Prices

In repeated second-price experimental auctions, the winning bid is normally posted after each round. The posting of these winning prices after each round can result in bids submitted in later rounds to be interdependent with posted prices from earlier rounds. Several approaches in the past have tried to scrutinize their experimental data for value interdependence by regressing bids on lagged market prices or lagged bids and ignoring the inherent endogeneity problem. This paper introduces a formal test for bid interdependence in repeated second-price auctions with posted prices using a dynamic panel model. We then apply this test to formally check the presence of bid interdependence in three datasets used in previous studies.     

Physician's Advice Affects Adoption of Desirable Dietary Behaviors

Due to the prevalence of and economic costs associated with poor dietary behaviors, the purpose of our research is to investigate the relationship between receipt of physician's dietary advice and the individual's tendency to adopt the desirable dietary behavior. Using a trivariate probit model, we find that physician's advice has dramatic positive effects on the probability of both eating fewer high fat and high cholesterol foods and on eating more fruits and vegetables to reduce risk of developing heart disease or stroke.     

Acceptance of genetically modified food: comparing consumer perspectives in the United States and South Korea

This study examines public perceptions of biotechnology, specifically the consumer approval of genetically modified food products, from plant as well as from animal origin, based on data collected from national surveys conducted in both the United States and South Korea. South Korean consumers reported better understanding of food production, science, and technology relative to U.S. consumers. South Korean consumers also recalled having heard more about genetic modification than did U.S. consumers. Findings also suggest that consumers in the United States and South Korea who possessed an accurate knowledge of the applications and outcomes of genetic modification technology were more likely to approve of its use for the creation of foods than those who had inaccurate or no knowledge of the technology. Results also indicate that consumers who considered labeling of genetically modified foods to be necessary are less likely to approve of the genetic modification of foods than those who did not. Consumers in both countries are less approving of genetic modification of animals than the genetic modification of plants. However, U.S. consumers are more approving of using genetic modification technology to create animal‐derived foods than are South Korean consumers.     

Value elicitation for multiple quantities of a quasi‐public good using open ended choice experiments and uniform price auctions

Choice experiments and experimental auctions have become popular mechanisms for estimating willingness to pay (WTP). However, these methods have primarily been used for estimating WTP for single units of goods. We analyze the results from experimental auctions and choice experiments in the context of multiple quantities of a quasi‐public good (animal welfare product). We show that the use of WTP values for a single unit of a product, a common practice in experimental valuation literature, can result in underestimation of aggregate demand. We use and compare open ended choice experiments (OECE), second price Vickrey auctions, and random Nth price auctions as mechanisms for valuing WTP. Our results also suggest that individual level demand estimates from OECE are less elastic than demand estimates from uniform price auctions.     

Do consumers value hydroponics? Implications for organic certification

Recent controversy about the inclusion of hydroponics in the U.S. Department of Agriculture (USDA) organic program has highlighted uncertainty about marketing hydroponic crops. In a controversial vote in November 2017, the National Organic Standards Board chose not to recommend that hydroponic farms be banned from organic certification. It is still unclear, however, how consumers perceive and value hydroponic production. This study used a nonhypothetical choice experiment to estimate consumers’ willingness to pay for hydroponic and traditional lettuce both with and without organic certification. No hydroponic premium was found, but exposing consumers to different kinds of information about hydroponics significantly affected consumers’ preference formation. Findings generally suggest that the National Organic Program should consider ways to ensure the stability of organic premiums as perceptions about hydroponics evolve.