Widespread obesity in the U.S. is a relatively recent phenomenon, reaching epidemic proportions only in the last 15 years. However, existing research shows that while calorie expenditure through physical activity has not changed appreciably since 1980, calorie consumption has risen dramatically. Consequently, any explanation of obesity must address the reason why consumers tend to overeat in spite of somewhat obvious future health implications. This study tests for an addiction to food nutrients as a potential explanation for the obesity epidemic. Specifically, we use a random coefficients (mixed) logit model applied to household scanner data to test a multivariate version of the rational addiction model of Becker and Murphy and Chaloupka. We find evidence of a rational addiction to all nutrients -protein, fat and carbohydrates -as well as to sodium, but particularly strong evidence of a forward-looking addiction to carbohydrates. The implication of this finding is that price-based policies -sin taxes or produce subsidies that change the expected future costs and benefits of consuming carbohydrate-intensive foods -may be effective in controlling excessive nutrient intake.
State commodity promotions, which promote food and agricultural products produced within a state's borders, are becoming widespread. Even though they are funded through tax revenues, there is little analysis on their effects. This study evaluates consumer awareness of Arizona's program and their preferences for Arizona products. Also, the effects of the program on product sales are analyzed. It was found that consumers were largely unaware of Arizona's program. However, most indicated that they would prefer Arizona products over others. The promotion was found to have little to no effect on product sales and only a modest direct effect on consumer preferences. [EconLit cites: Q180, M300, H170] © 1999 John Wiley & Sons, Inc.
This study examined the effect of the "TrEAT Yourself Well" campaign on diners'menu choices using data from four restaurant chains in California. Within each chain, two locations in the greater San Diego area were selected as experimental sites and either one or two locations outside the greater San Diego area were selected as control sites. Various promotional activities, including in-restaurant promotions, community events, and paid media advertising, were conducted in the experimental region to promote healthy menu entrées. The results show that the campaign was successful in reaching diners and had positive effects on their beliefs and attitudes toward healthy dining. The campaign directly increased the probability of a consumer purchasing a healthy menu item by 3.7% (p = .05). By improving consumer attitudes toward healthy menu items, the campaign indirectly increased purchases of these items by 4.4%.
Fruit and vegetable growers often allege a shortage of agricultural workers, but in a review of the H2A nonimmigrant guestworker program the General Accounting Office claims that no such shortage exists. The apparent shortage may be due to workers that are in the labor force but do not choose to take agricultural jobs. According to real options theory, when nonagricultural jobs are uncertain, workers require added incentive to invest in sectoral migration. Estimates of an arbitrage model in monthly Washington state wage data show the labor-shortage probability to be far greater than the probability of a surplus. Copyright 1998, Oxford University Press.
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