Comparing parts with the whole: willingness to pay for pesticide-free, non-GM, and organic potatoes and sweet corn.

摘要

Experimental auctions were carried out with consumers from 4 US states in order to investigate demand relationships and willingness to pay (WTP) for 4 types of potatoes and sweetcorn (conventional, organic and 2 component parts of organic (no pesticides and non-GM)). Elasticities showed strong and asymmetric substitute relationships between organic and its parts. Combined premiums of the parts were not significantly different than the whole organic premium, suggesting WTP for the attributes are not additive. A 2-stage heteroskedastic tobit model found significant WTP for each part dependent on consumer demographics and beliefs about conventional versions. Results suggest segments for parts of organic could be established alongside the whole.