Risk, Information, and Trust in the Food Chain: Factors Explaining Consumer Willingness to Pay

This paper analysed factors contributing to consumers’ willingness to pay (WTP) for increased quality information. The empirical scope of the study was restricted to beef, because the beef labelling system enables reliable tracing of quality attributes. The results showed that consumer perceptions of specific risks in food partly explain their WTP. Also negative experiences heard from other people increased the probability of WTP. Trust seems to be extremely significant factor in WTP models. This study implies that the majority of the respondents trust the food safety authorities and the co‐operation of all stakeholders in the food chain.risk, trust, information, beef, willingness to pay., Food Consumption/Nutrition/Food Safety, Industrial Organization, Risk and Uncertainty,

Profitability of and Reasons for Adopting Automatic Milking Systems

Adopting an automatic milking system (AMS) on a dairy farm decreases the hours spent on animal husbandry by approximately 30 per cent. When comparing a milking parlour and the AM-system, the main economic benefit clearly results from the decrease in labour costs in automatic milking. In terms of economic profitability, the net profit in AM-system remains above that of the milking parlour system. On dairy farms the main reasons for adopting automatic milking are linked to the workload and physical loading. A more flexible working time distributes the workload evenly during busy cultivation periods. More flexible leisure time is also important. Producers also want to enhance the welfare and health of the animals by increasing the milking frequency of highly productive cows.automatic milking system, profitability, labour costs, Livestock Production/Industries, Q12, Q16,

Demand for and Value of Credence Characteristics: Case Beef

The aim of this study is to evaluate both qualitatively and quantitatively the value of new information about and the information systems set for credence characteristics of beef. Economics of information is our theoretical framework. The quantitative approach focuses to measure the ex ante value of credence characteristics, and the method of contingent valuation is applied for this purpose. Results indicate that 59 % of Finnish consumers are willing to pay more to get information about safety and quality of beef products. Consumers are most concerned with diseases caused by food of animal origin. Genetically modified organisms (GMOs) are not considered as the mosthazardous risk factor in food products. However, if the beef products contain GMOs used in animals, then consumers also start requiring additional information.beef, information, credence attributes, contingent valuation, willingness to pay, Food Consumption/Nutrition/Food Safety,

Consumers' Willingness to Pay for Additional Information on Food Quality and Safety

Most quality properties of food products can be considered as credence characteristics, quality of which cannot be inferred before the purchase, and sometimes not even after the purchase. Our objective is to assess how much consumers are willing to pay (WTP) for meat products, of which e.g. origins and production practices are known, especially with regard to safety issues. Results indicate that 59 % of Finnish consumers are willing to pay more to get information about safety and quality of beef products. Consumers are most concerned with diseases caused by food of animal origin.beef, information, credence attributes, willingness to pay, Consumer/Household Economics, Food Consumption/Nutrition/Food Safety,

DEMAND FOR CREDENCE CHARACTERISTICS IN BEEF

The recent food crises in Europe have raised public concerns about the quality and safety of food. The growing concern among the consumers towards food safety issues has increased the demand for quality attributes. Most quality properties of food products can be considered as credence characteristics, quality of which cannot be inferred before the purchase, and sometimes not even after the purchase. The aim of this study is to evaluate, both qualitatively and quantitatively, the value of new information about and the information systems set for credence characteristics of beef. Economics of information is the theoretical framework. The quantitative approach focuses to measure the ex ante value of credence characteristics, and the method of contingent valuation is applied for this purpose. In the beef supply chain there are two parallel information-based policies in Finland, which will increase the credence characteristics of beef quality and safety. First, the National Quality Strategy was drawn up by all parties involved in foodstuffs production to express the competitive advantages and strengths of Finnish food products relating to quality, safety, ethics, and ecology. Secondly, a beef identification and labelling system of the European Union was developed primarily to secure the safety of beef products and to increase the transparency and traceability of beef products in the supply chain. Through these systems more information about the credence characteristics of beef safety and quality will be made available to consumers. Results indicate that 59 % of Finnish consumers are willing to pay more to get information about safety and quality of beef products. Consumers are most concerned with diseases caused by food of animal origin. In addition, consumers desire more information about the use of GMOs in livestock production, the country of origin, and use of hormones in livestock production. Key words: beef, information, credence attributes, contingent valuation, willingness to paybeef, information, credence attributes, contingent valuation, willingness to pay, Demand and Price Analysis,

IMPACT OF INFORMATION ON THE DEMAND FOR CREDENCE CHARACTERISTICS

Most quality properties of food products can be considered as credence characteristics, quality of which cannot be inferred before the purchase, and sometimes not even after the purchase. Our objectives are: (1) To assess how much consumers are willing to pay (WTP) for meat products, of which e.g. origins and production practices are known, especially with regard to safety issues; (2) To compare the applicability, reliability, and efficiency of safety information provided by either private companies or public institutions, and (3) to explore the possibility of the so-called information paradox: is more information always better – or more beneficial – information?Demand and Price Analysis,

The 2005 European e-Business Readiness Index

Assessment of the eEurope 2005 Action Plan Benchmarking Index “E-Business Readiness Composite Indicator” using data collected by National Statistical Institutes and harmonised by Eurostat, using surveys “ICT usage of enterprises”, with reference years 2003 and 2004. This report contains data from 26 countries as collected in 2004 and as reported by Eurostat in June 2005. Performed analyses include obustness analysis, uncertainty and sensitivity analysis for two categories of ICT (Adoption and Use), univariate analysis of basic indicators; principal component analysis and finally assessment of resulted country rankings and methodological notes.ICT, e-business, adoption, composite, indicator, eEurope, e-Europe, EU, multiple imputation imputation