The random coefficient autoregressive Markov regime switching model (RCARRS) for estimating optimal hedge ratios, which generalizes the random coefficient autoregressive (RCAR) and Markov regime switching (MRS) models, is introduced. RCARRS, RCAR, MRS, BEKK‐GARCH, CC‐GARCH, and OLS are...

A simple experiment is used to examine the effect of grocery store nutrition labels on the sales of microwave popcorn in the East Bay area of California. Using an incomplete demand system we estimate the impact of the nutrition labels on sales of healthy (products that merit a nutrition label)...

Nutrition labels can potentially benefit consumers by increasing product knowledge and reducing search costs. However, the global increase in obesity rates leads one to question the effectiveness of current nutrition information formats. Alternative formats for providing nutrition information...

Although mass-produced beers still represent the vast majority of U.S. beer sales, there has been a significant growth trend in the craft beer segment. This study analyzes the demand for beer as a differentiated product and estimates own-price, cross-price, and income elasticities for beer by...

Many economists have estimated hedonic price functions for red and white wine. However, estimating a single hedonic price function imposes the assumption that the implicit prices of the attributes are the same for any red or white wine. We argue that even within these two categories, wines are...

Nutrition labels can potentially benefit consumers by increasing product knowledge and reducing search costs. However, the global increase in obesity rates leads one to question the effectiveness of current nutrition information formats. Alternative formats for providing nutrition information...

As microbrew beers have become more popular, the intrinsic characteristics of beer have become more important in consumer purchasing decisions. We identify sensory properties that influence consumers’ willingness to pay for beer using a contingent valuation model that includes subjective...

This study evaluates the effect of a quick-service restaurant (QSR) strategy which changes de-fault calorie-dense menu items to healthier options on children’ menu consumption behaviors. A series of difference-in-differences (DID) models are estimated to compare sales between treat-ment...