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Probit regression: Potatoes
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| bet | 23/25 | | Sana | 10.04.2017 | | Hajmi | 235.5 Kb. | | #4028 |
Environmental Impact
The effects of genetic modification on the environment are largely unknown. Bioengineered insect resistance has reduced farmers’ applications of environmentally hazardous insecticides. More studies are occurring to help assess the impact of bioengineered plants and organisms on the environment. A couple of studies reported harm to Monarch butterflies from GM crops, but other scientists were not able to recreate the results. The possibility of insects growing resistant to GM crops is a legitimate concern.
Table 1. Characteristics of the Auction Participants
Variable
|
Definition
|
Mean
|
St. Dev
|
Gender
|
1 if female
|
0.62
|
0.49
|
Age
|
The participant’s age
|
49.5
|
17.5
|
Married
|
1 if the individual is married
|
0.67
|
0.47
|
Education
|
Years of schooling
|
14.54
|
2.25
|
Household
|
Number of people in participant’s household
|
2.78
|
1.65
|
Income
|
The households income level (in thousands)
|
57.0
|
32.6
|
White
|
1 if participant is white
|
0.90
|
0.30
|
Read_L*
|
1 if never reads labels before a new food purchase
|
0.01
|
0.11
|
|
1 if rarely reads labels before a new food purchase
|
0.11
|
0.31
|
|
1 if sometimes reads labels before a new food purchase
|
0.31
|
0.46
|
|
1 if often reads labels before a new food purchase
|
0.37
|
0.48
|
|
1 if always reads labels before a new food purchase
|
0.20
|
0.40
|
Informed*
|
1 if an individual considered themselves at least somewhat informed regarding genetically modified foods
|
0.42
|
0.49
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Labels1
|
1 if the treatment bid on foods with GM labels in round 1
|
0.52
|
0.50
|
__________________________________________________________________________________________
*Information about participant’s prior beliefs; information collected from participants in pre-auction questionnaire.
Mean bids – all participants
|
n
|
mean bid
|
std. dev.
|
Median
|
Minimum
|
Maximum
|
GM OIL
|
146
|
1.07
|
0.81
|
0.99
|
0
|
3.99
|
OIL
|
146
|
1.24
|
0.78
|
1.00
|
0
|
3.79
|
GM CHIPS
|
155
|
1.03
|
0.85
|
0.99
|
0
|
3.99
|
CHIPS
|
155
|
1.20
|
0.81
|
1.00
|
0.05
|
4.99
|
GM POTATOES
|
159
|
0.84
|
0.66
|
0.75
|
0
|
3
|
POTATOES
|
159
|
0.98
|
0.65
|
0.89
|
0
|
3.89
|
-
Mean bids when participants only received positive information.
|
n
|
mean bid
|
std dev
|
Median
|
Minimum
|
Maximum
|
GM OIL
|
26
|
1.56
|
0.73
|
1.50
|
0
|
2.99
|
OIL
|
26
|
1.54
|
0.79
|
1.55
|
0
|
3.50
|
GM CHIPS
|
30
|
1.31
|
0.72
|
1.13
|
0
|
2.99
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CHIPS
|
30
|
1.36
|
0.72
|
1.18
|
0.05
|
2.99
|
GM POTATOES
|
27
|
1.30
|
0.71
|
1.25
|
0
|
2.50
|
POTATOES
|
27
|
1.26
|
0.67
|
1.25
|
0
|
2.00
|
-
Mean bids when participants only received negative information.
|
n
|
mean bid
|
std dev
|
Median
|
Minimum
|
Maximum
|
GM OIL
|
26
|
0.79
|
0.82
|
0.50
|
0
|
3.25
|
OIL
|
26
|
1.22
|
0.65
|
1.00
|
0.25
|
2.49
|
GM CHIPS
|
29
|
0.81
|
0.94
|
0.50
|
0
|
3.99
|
CHIPS
|
29
|
1.25
|
1.02
|
1.00
|
0.05
|
4.99
|
GM POTATOES
|
29
|
0.61
|
0.68
|
0.50
|
0
|
2.75
|
POTATOES
|
29
|
0.98
|
0.88
|
0.75
|
0.05
|
3.89
|
-
Mean bids when participants received both positive and negative information.
|
n
|
mean bid
|
std dev
|
Median
|
Minimum
|
Maximum
|
GM OIL
|
24
|
0.68
|
0.55
|
0.50
|
0
|
1.79
|
OIL
|
24
|
0.90
|
0.72
|
0.85
|
0
|
3.00
|
GM CHIPS
|
23
|
0.68
|
0.74
|
0.35
|
0
|
2.25
|
CHIPS
|
23
|
0.81
|
0.79
|
0.49
|
0.05
|
2.75
|
GM POTATOES
|
26
|
0.50
|
0.39
|
0.50
|
0
|
1.50
|
POTATOES
|
26
|
0.70
|
0.43
|
0.50
|
0.05
|
1.60
|
-
Mean bids when participants received both positive and third-party information.
|
n
|
mean bid
|
std dev
|
Median
|
Minimum
|
Maximum
|
GM OIL
|
26
|
1.12
|
0.62
|
1.00
|
0
|
2.39
|
OIL
|
26
|
1.14
|
0.57
|
1.00
|
0.10
|
2.39
|
GM CHIPS
|
25
|
1.24
|
0.77
|
1.19
|
0
|
2.79
|
CHIPS
|
25
|
1.33
|
0.73
|
1.16
|
0.20
|
2.89
|
GM POTATOES
|
26
|
0.92
|
0.45
|
0.99
|
0
|
1.85
|
POTATOES
|
26
|
0.93
|
0.39
|
0.99
|
0.25
|
1.90
|
-
Mean bids when participants received both negative and third-party information.
|
n
|
mean bid
|
std dev
|
Median
|
Minimum
|
Maximum
|
GM OIL
|
21
|
1.33
|
1.05
|
1.25
|
0
|
3.99
|
OIL
|
21
|
1.60
|
0.97
|
1.50
|
0.49
|
3.79
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GM CHIPS
|
25
|
1.12
|
0.97
|
0.99
|
0
|
3.50
|
CHIPS
|
25
|
1.38
|
0.77
|
1.01
|
0.49
|
3.00
|
GM POTATOES
|
27
|
0.89
|
0.77
|
0.89
|
0
|
3.00
|
POTATOES
|
27
|
1.14
|
0.67
|
0.99
|
0.50
|
3.00
|
-
Mean bids when participants received positive, negative and third party information.
|
n
|
mean bid
|
std dev
|
Median
|
Minimum
|
Maximum
|
GM OIL
|
23
|
0.94
|
0.77
|
0.95
|
0
|
2.75
|
OIL
|
23
|
1.06
|
0.82
|
1.00
|
0.05
|
3.29
|
GM CHIPS
|
23
|
0.95
|
0.81
|
0.85
|
0
|
3.25
|
CHIPS
|
23
|
0.95
|
0.66
|
0.99
|
0.1
|
2.89
|
GM POTATOES
|
24
|
0.82
|
0.61
|
1.00
|
0
|
1.99
|
POTATOES
|
24
|
0.84
|
0.55
|
0.84
|
0.01
|
2.00
|
Table 3: Percentage of consumers who bid zero for a GM-labeled food item. (When a consumer bids zero for both GM and non-GM version of a commodity their bids are not included)
| | Observations | Out of market | | All goods | 165 | 17 | 10.3% | Vegetable Oil, only | 146 | 13 | 8.9% | Tortilla Chips, only | 155 | 20 | 12.9% | Potatoes, only | 159 | 20 | 12.6% |
Table 4: Percentage of consumers who’s bid for the GM-labeled food is 2/3’s the amount they bid for the plain labeled food, or lower. (When a consumer bids zero for both GM and non-GM version of a commodity their bids are not included)
| | Observations | Out of market | Percent out of market | All goods | 165 | 27 | 16.4% | Vegetable Oil, only | 146 | 28 | 19.2% | Tortilla Chips, only | 155 | 37 | 23.9% | Potatoes, only | 159 | 35 | 22.0% | Table 5: Range of estimates from Probit model on probability a consumer is pushed out of the market for each of the GM-labeled foods. (TRY PROBIT WITHOUT POSITIVE INFORMATION)
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