A dynamic multiple-indicator multiple-cause (MIMIC) framework was used to estimate the latent variable reputation with price premiums for Washington apples and attributes that covered the period July 1996 to November 1999. A maximum likelihood two-stage approach was employed. For comparison...

The present study provides estimates of reputation as a dynamic latent variable that is determined by price premiums and market data. Further, it analyzes the effect of extrinsic factors on reputation. Specifically, this study seeks to (i) quantify the reputation of Washington apples over time,...

We discuss empirical research on consumer preferences and willingness to pay for several types of food quality or attribute labeling. The selected categories we include are eco-labels, GM food labels, U.S. state agricultural-product labels and European Protected Geographical Indication labels,...

This paper analyzes a monopolist's behavior when consumers cannot observe the production standards. These types of products are usually known as credence goods. The steady-state level of quality with credence goods is found to be lower than that with experience goods, and perfect information...

Using an economic experiment in conjunction with a survey, we analyze whether consumers’ hypothetical willingness-to-pay responses are effective predictors of actual market behavior. We model revealed preferences as a function of socio-demographic characteristics and instrumental variables...

We assess consumer choice of eco-labeled, organic, and regular apples, and identify sociodemographic characteristics affecting the choice among those three alternatives. Eco-labeled apples are less desirable than organic when food safety, the environment, and children's needs are considered....