Fresh Potato and Meat Preferences by U.S. Region

Abstract

We develop an econometric model to identify factors that influence fresh-market demand for red, russet, Yukon, and organic potatoes. Explanatory variables include potato price, pork price, chicken price, steak price, consumer income, Body Mass Index, organic penetration rate, number of Whole Foods stores, and U.S. region. We find the strongest demand for organic and Yukon potatoes in New England, for russets in the East South Central region and for reds in the West North Central region. White meats were complements for Yukons and organics while red meats complemented russets and reds. Own-price elasticities ranged from βˆ’0.60 for reds to βˆ’1.50 for organic potatoes

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