Overweight and obesity have become global concerns in developed and developing countries due to their rise in recent years and their association with the prevalence of non-communicable diseases including diabetes, hypertension and cardiovascular diseases. In fact, it is estimated that roughly 39% of adults worldwide are overweight and 13% are obese. Ecuador is an example of a developing country concerned with the overweight and obesity problem, where it is estimated that 30% of children, 26% of teenagers and 63% of adults are either overweight or obese and where 1 in 4 deaths are attributed to chronic diseases. To address the overweight and obesity problem via the promotion of healthy eating habits, in 2013 the country approved technical regulation for the labelling of packed processed food products. The regulation included a mandatory traffic-light (TL) supplemental nutritional information labelling system to be displayed on the package of all processed foods for sale in the country. This new labelling system displays a traffic light panel for the product content of sugar, fat and salt in addition to the traditional nutrient declaration label. The objective of this paper was to evaluate the effect of the TL supplemental nutritional information on consumers’ buying behavior in Ecuador. More specifically, we concentrated on the purchasing behavior of carbonated soft drinks. For our analysis, we used monthly aggregated purchase data (total expenditures, quantities and average prices) of carbonated soft drinks from January 2013 to December 2015 obtained from Kantar World Panel—Ecuador. We estimated a non-linear Almost Ideal Demand System where we model the demand for high sugar and low sugar carbonated soft drinks. We found that the introduction of the traffic light supplemental nutrition labelling did not have the expected effect of reducing purchases of carbonated soft drinks during its first year of implementation, especially those high in sugar. Additionally, we found that lower income-status households tend to spend more on and consume more calories from CSD than households with higher socio-economic status. Finally, we identified that over time purchases of high sugar soft drinks decreased while purchases of low and no sugar soft drinks increased. Beyond our contribution of evaluating the effect of the traffic light on the purchases of carbonated soft drinks, we also estimated price and income elasticities of carbonated soft drinks which can be useful in the evaluation of fiscal policies.
5 October 2021 in Applied Health Economics and Health Policy
This research is a meta-analysis that focuses on farmers’ willingness to accept adopting sustainable practices. We use a set of meta-regressions and statistical tests to analyze 59 studies providing 286 WTA estimates. Our aim is to examine gaps in the literature of sustainable agriculture adoption and highlight the major findings of peer-reviewed works. We found evidence for significant methodological factors affecting WTA values, and the presence of unique Willingness to Accept mean value that would be the true proxy for how much farmers’ must be compensated to adopt sustainable agriculture practices.
21 November 2013 in Environment, Development and Sustainability
With the intent of improving agricultural revenues and solidifying her place as an ecotourism destination, it has been proposed that the island nation of The Commonwealth of Dominica convert all agriculture to organic production. This study explores Dominica’s current and potential domestic demand for organic and/or “locally grown” produce. Surveys were conducted with Dominican consumers to assess their opinions and willingness to pay for these products, and evaluated using a maximum likelihood estimation procedure. On average, Dominican consumers are willing to pay 17.5 % more for organic, and 12 % more for locally grown, produce. These results were varied significantly across demographic segments of the sampled population, respondent tastes and preferences, the health status of their family, and the extent to which they were early adopters of new products. Despite several expected challenges of a successful transition to organic, implementation of this policy may offer a net positive welfare increase for Dominica’s permanent residents. Results from this analysis suggest that, from the perspective of domestic consumers, Dominica should continue to pursue the possibility of becoming an “Organic Island.”
9 July 2021 in Human Vaccines & Immunotherapeutics
The goal of achieving herd immunity to the coronavirus requires high vaccination acceptance levels on the part of the population. The objectives of this study were to: 1) Measure individuals’ willingness to pay (WTP) for a COVID-19 vaccine in Kenya; 2) evaluate the effect of vaccine characteristics (duration of protection and efficacy) and individuals’ socioeconomic variables on WTP, and 3) estimate the aggregate demand and economic value of a COVID-19 vaccine. The contingent valuation (CV) method was used as the basis for the analyses. Data for this study were obtained from a survey of 1,050 individuals in Kenya conducted from April 7 to April 15, 2020. The survey included CV questions using a double-bounded dichotomous choice format. Results reveal that most of the individuals in Kenya (at least 96%) were willing to accept a COVID-19 vaccine. Approximately 80% of individuals were willing to pay a positive amount. Conservative estimates of individuals’ mean WTP for the vaccine range from USD 49.81 to USD 68.25 (depending on vaccine characteristics). Both vaccine duration of protection and efficacy were found to influence WTP (p < .10). The perceived probability of being hospitalized, age, gender, education, location and region of residence, and household income were also found to be associated with WTP for the vaccine (p < .10). In conclusion, the COVID-19 vaccine is highly valued and accepted by the Kenyan population; however, a high percent of the population is unwilling to pay for it or is only willing to pay a low price.