Preference heterogeneity and GM food in the UK
University of Manchester, Manchester, UK
University of Western Australia, Perth, WA, Australia
Corresponding author: Dan Rigby, Economic Studies, School of Social Science, Manchester University, Manchester M13 9PL, UK. Email: dan.rigby{at}man.ac.uk
Received June 2003; Revision received March 2005.
Summary
This study uses mixed logit models to reconsider the findings of choice experiment surveys with a focus on heterogeneity among consumers. The motivation is that these techniques allow the researcher to segment the market better. This is critical because it is not the average attitude or preference that is important, but the size of the groups who will be prepared to accept the product under certain circumstances. The causes of heterogeneity within the sample are investigated and the proportions of consumers willing to buy GM foods at various discounts are simulated.
Keywords: choice modelling, food safety, GM, mixed logit, random parameter, WTP, C25, D12, Q18
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