Otsuki, Tsunehiro

This study estimates the response of Japanese demand for poultry meat to food safety regulations using the almost ideal demand system (AIDS) with a particular focus on the maximum residue limits (MRL) on pesticides and veterinary drugs. The model allows for asymmetric consumer's response to regulations across goods from different origins. The results indicate the asymmetry of the demand response to a change in MRLs and avian-influenza bans. Tightening the MRLs reduces domestic demand for poultry meat as well as demand for imports from China and the US, and increases demand for imports from Brazil. Thus, the assessment of the impact of regulatory policies needs to take consumers' flexible rearrangement of bundles into account

Osaka University Knowledge Archive

Demand Response for Imported and Domestic Poultry Meat Products to Food Safety Regulations in Japan : An Application of the Almost Ideal Demand System Model

http://www.osipp.osaka-u.ac.jp/archives/DP/2011/DP2011E007.pdf

Demand Response for Imported and Domestic Poultry Meat Products to Food Safety Regulations in Japan : An Application of the Almost Ideal Demand System Model

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Osaka University Knowledge Archive