PRO-SOCIAL CONSUMER AND FIRM BEHAVIOR IN IMPERFECTLY COMPETITIVE REGIONAL AGRICULTURAL MARKETS

Abstract

In this dissertation, I combine field research, econometric methods, and economic theory to analyze a market in which both firms’ and consumers’ choices are motivated by social preferences. This work contributes to the fields of behavioral economics, industrial organization, and local food systems economics. The dissertation expands the growing literature on social preferences to incorporate firms’ choices that are motivated by utility maximizing objectives in an environment that allows endogenous equilibrium prices and quantities. Firms with social preferences operate in a competitive environment in which they may face downstream market power. In particular, the research focuses on intermediated Farm to School markets for local food in which producers’ marketing decisions may be influenced by both market structure and the pro-social motivations embedded in local food markets

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