Estimating consumer preferences and willingness to pay for the underutilised indigenous chicken products
TL;DR: In this paper, a study was conducted to estimate the consumers' responsiveness to an increase in prices of the indigenous chicken products and how much they are willing to pay for them in the market.
About: This article is published in Food Policy.The article was published on 2013-08-01. It has received 48 citations till now. The article focuses on the topics: Willingness to pay & Contingent valuation.
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TL;DR: In this paper, the authors assess the economic benefits of seasonal climate forecasts in West Africa based on a random survey of 354 maize farmers and use the contingent valuation method to use the most desirable dissemination channels are radio, local elders, local farmer meetings and extension agents, the most likely used farming strategies are change of: planting date, crop acreage, crop variety and production intensification.
57 citations
Cites background or methods from "Estimating consumer preferences and..."
...Bett et al. (2013) point out that another common criticism of the CVM is on the question of style or format which can be misunderstood by the interviewees....
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...CVM is widely recognised as one of the major tool used by researchers to assess the total value of non-market goods (Bett et al., 2013; Carlsson et al., 2005)....
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TL;DR: In this article, the determinants of farmers' willingness to pay (WTP) and their payment levels for ecological compensation of the Poyang Lake Wetland in China were examined. And the results revealed that 46.58% of farmers are willing to pay ecological compensation with an average price of $64.39/household per year.
Abstract: This study examines the determinants of farmers’ willingness to pay (WTP) and their payment levels for ecological compensation of the Poyang Lake Wetland in China. We developed a farmer household survey and gathered 292 effective responses. The contingent valuation method (CVM) and Heckman’s two-step model were employed for the empirical study. Results show that 46.58% of farmers are willing to pay ecological compensation, with an average price of $64.39/household per year. The influencing factors that significantly influence farmers’ WTP include household income, residential location, emphasis on improvement of wetland resources, arable land area, and contracted water area. In addition, household income, residential location, arable land area, and contracted water area are significantly related to their payment levels. The results of this empirical study inform important policy implications and recommendations.
42 citations
Additional excerpts
...Secondly, the model could explicitly resolve potential sample selection bias [31,48]....
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TL;DR: Although PLS was superior in genetic gains and profitability and recommended in breeding programmes targeting ICL and ICB, a three line CBS should be considered in development of a dual-purpose breed.
Abstract: 1. The aim of the study was to evaluate the genetic and economic breeding objectives for an indigenous chicken (IC) breeding programme in Kenya. 2. A closed three-tier nucleus breeding programme with three breeding objectives and two selection schemes was simulated. The breeding objectives included IC dual-purpose (ICD) for both eggs and meat, IC layer (ICL) for eggs and IC broiler (ICB) for meat production. 3. Pure line selection scheme (PLS) for development of IC pure breeds and crossbreeding scheme (CBS) for the production of hybrids were considered. Two-and three-way crossbreeding strategies were evaluated under CBS and the impact of nucleus size on genetic gains and profitability of the breeding programme were investigated. 4. Males were the main contributors to genetic gains. The highest genetic gains for egg number (2·71 eggs) and growth traits (1·74 g average daily gain and 57·96 g live weight at 16 weeks) were realised under PLS in ICL and ICB, respectively. 5. The genetic response for age at first egg was desirable in all the breeding objectives, while that for fertility and hatchability were only favourable under ICL and PLS in ICD. Faecal egg count and immune antibody response had low, but positive gains except under PLS where the later was unfavourable. ICB was the most profitable breeding objective, followed by ICD and ICL under all the selection schemes. 6. Although PLS was superior in genetic gains and profitability and recommended in breeding programmes targeting ICL and ICB, a three line CBS should be considered in development of a dual-purpose breed. 7. Increasing the nucleus size beyond 5% of the IC population was not attractive as it resulted in declining profitability of the breeding programme.
18 citations
Cites background or methods from "Estimating consumer preferences and..."
...…for LW at 8 weeks due to high heritability, the 16 weeks used in the current study was justified because in Kenya, as in other tropical countries, IC are sold when they are at least 1000 g because the market prefers a body weight of around 2000 g (Bett et al., 2011b; Natukunda et al., 2011)....
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...These traits correspond to those considered important by IC producers, retailers and consumers (Bett et al., 2011a; Okeno et al., 2011b)....
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...In Kenya for instance, Bett et al. (2011c) observed that consumers were willing to pay 23% more for IC meat compared to other meat products....
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...These studies revealed that farmers prefer high producing dualpurpose IC breeds which can survive and reproduce under the free-range production system (Bett et al., 2011a; Okeno et al., 2011b), while consumers were willing to pay more for IC products (Bett et al., 2011c)....
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...They included dual-purpose IC (ICD), representing the IC bred for both egg and meat production, which simulate farmers’ preference (Bett et al., 2011a; Okeno et al., 2011b), IC layers (ICL) and IC broilers (ICB), representing alternative breeding objectives for IC lines selected for egg and meat…...
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TL;DR: The results indicated that the consumers were interested in acquiring a non-traditional juice processed using a technology that preserves vitamins and antioxidants, maintains the flavor of "fresh juice" without colorants and preservatives, despite the pomegranate is not part of the Brazilian diet.
16 citations
Cites result from "Estimating consumer preferences and..."
...These results were similar to Bett et al. (2013) and Zaikin and McCluskey (2013). Although the educational level was significant, the sign of the coefficient did not follow the study hypothesis, which assumed that individuals with higher education level would have more willingness to pay...
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...These results were similar to Bett et al. (2013) and Zaikin and McCluskey (2013)....
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TL;DR: In this article, the authors assess consumers' preferences and willingness to pay for chicken meat of domestic and imported origins and other quality attributes and find that consumers prefer domestic to imported chicken and are willing to pay a premium for domestic chicken.
Abstract: Over the past few decades, the opening up of trade has often put producers in developing countries under competitive pressure from food imports, particularly in the case of poultry products. Consequently, raising numerous concerns about the
continued growth of domestic poultry production, especially in sub‐Saharan Africa. Therefore, this paper assesses consumers’ preferences and willingness to pay for chicken meat of domestic and imported origins and other quality attributes. We used data conducted among 500 consumers in Ghana. Results from both a random parameter logit and a latent class models show that consumers have heterogeneous preferences for chicken meat attributes. Specifically, findings indicate that consumers prefer domestic to imported chicken and are willing to pay a premium for domestic chicken. In addition, antibiotic/hormone‐free, fresh, and cuts are preferred with antibiotic/hormone‐free having a larger impact on choices. Furthermore, consumers’ preferences differ across segments and are largely based on their attitudes towards food. [EconLit citations : C25, D12, Q13].
15 citations
References
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TL;DR: In this article, the bias that results from using non-randomly selected samples to estimate behavioral relationships as an ordinary specification error or "omitted variables" bias is discussed, and the asymptotic distribution of the estimator is derived.
Abstract: Sample selection bias as a specification error This paper discusses the bias that results from using non-randomly selected samples to estimate behavioral relationships as an ordinary specification error or «omitted variables» bias. A simple consistent two stage estimator is considered that enables analysts to utilize simple regression methods to estimate behavioral functions by least squares methods. The asymptotic distribution of the estimator is derived.
23,995 citations
TL;DR: In this article, the authors argue that in the presence of externalities, market transactions do not fully capture preferences and that collective choice is the more relevant paradigm to the public good nature of pollution.
Abstract: The ability to place a monetary value on the consequences of pollution discharges is a cornerstone of the economic approach to the environment. If this cannot be done, it undercuts the use of economic principles, whether to determine the optimal level of pollution or to implement this via Pigouvian taxes or Coase-style liability rules. Sometimes, the valuation involves a straightforward application of methods for valuing market commodities, as when sparks from a passing train set fire to a wheat field. Often, however, the valuation is more difficult. Outcomes such as reducing the risk of human illness or death, maintaining populations of native fish in an estuary, or protecting visibility at national parks are not themselves goods that are bought and sold in a market. Yet, placing a monetary value on them can be essential for sound policy. The lack of a market to generate prices for such outcomes is no accident. Markets are often missing in such cases because of the nonexcludable or nonrival nature of the damages: for those affected by it, pollution may be a public good (or bad). The public good nature of the damages from pollution has several consequences. It explains, for example, why the damages are sometimes large—only a few people may want to own a sea otter pelt, say, but many may want this animal protected in the wild. It also explains why market prices are inappropriate measures of value. In the presence of externalities , market transactions do not fully capture preferences. Collective choice is the more relevant paradigm. This is precisely what Ciriacy-Wantrup (1947) had in mind when he first proposed the contingent valuation method. Individuals should be interviewed
1,601 citations
TL;DR: In this paper, two hypotheses about the effect of context on choice are proposed, one hypothesis is that consumer choice is often influenced by the context, defined by the set of alternatives under consideration.
Abstract: Consumer choice is often influenced by the context, defined by the set of alternatives under consideration. Two hypotheses about the effect of context on choice are proposed. The first hypothesis, ...
1,461 citations
Book•
01 Jan 1996
TL;DR: Natural Resources and Environmental Economics as discussed by the authors provides a comprehensive and contemporary analysis of the major areas of natural resource and environmental economics, with a focus on renewable energy and renewable energy technologies and their applications.
Abstract: Natural Resources and Environmental Economics, provides comprehensive and contemporary analysis of the major areas of natural resource and environmental economics.
1,232 citations
TL;DR: Amiran and Hagen as mentioned in this paper showed that there can be a substantial divergence between the WTA and WTP for a public good even when there is a nonzero elasticity of substitution between market goods and the public good, provided that the indifference curves are asymptotically bounded.
Abstract: I agree with the point made by Edoh Y. Amiran and Daniel A. Hagen (2003) that there can be a substantial, or even infinite, divergence between the WTA and WTP for a public good even where there is a nonzero elasticity of substitution between market goods and the public good, provided that the indifference curves are asymptotically bounded with respect to market goods in the manner they describe. This is an important point. They are also correct to point out that the elasticity of substitution is a local concept, whereas their asymptotic boundedness condition applies also for discrete changes. My 1991 paper used a local analysis because it was following the structure of the analysis in Robert D. Willig (1976) and Alan Randall and John R. Stoll (1980); I wanted to show that, while Randall and Stoll appeared to extend Willig’s local result on WTA versus WTP from price changes to changes in the quantity of a public good, the relevant elasticity was in fact different and involved the substitution elasticity as well as the income elasticity. I view these points by Amiran and Hagen as not two separate results but essentially the same result: their asymptotic boundedness condition generalizes my zero elasticity of substitution condition to discrete changes. The asymptotic boundedness condition can be expressed as follows: assuming a bivariate utility function u( x, q), and given a reference point ( x*, q*) associated with a reference utility level u* u( x*, q*), there exists some q q* such that, for all q q , there exists no x such that u( x , q) u*. In other words, no amount of x can substitute for the reduction in public good from q* to q q . In the case of a zero elasticity of substitution, q q* but, as Amiran and Hagen show in their Theorem 1, this is unnecessarily restrictive when dealing with a discrete reduction in q. Furthermore, their Theorem 2 can be viewed as a special case of their Theorem 1 in which q 0, which makes q an essential commodity. It is well known in consumer theory that the WTA to avoid the loss of an essential market good is infinite; their Theorem 2 extends this result to the case of an essential nonmarket good. But, as their Theorem 1 shows, essentialness is not necessary for an infinite WTA. The boundedness condition is the key, and this implies a fundamental lack of substitutability between money (market goods) and the public good.
944 citations