Preferences for Sustainability and Supply Chain Worker Conditions: Evidence During COVID-19

April 19, 2022


Given coronavirus 2019 (COVID-19), we empirically investigate whether consumers are willing to pay for greater sustainability and safer working conditions in food supply chains. We elicit consumer valuation via two consumer choice survey experiments and revealed preferences using mixed Logit discrete choice models. We find that consumers have a significant positive average valuation towards sustainability, but may require an average compensation to choose products produced under safer working conditions. Policy implications suggest a market-based potential to nudge consumer segments who desire value congruence in their diet, namely, by revealing information through labeling.

AAEA press release regarding this publication.