| Beef food safety events have contributed to considerable market volatility, produced varied consumer reactions, created policy debates, sparked heated trade disputes, and generally contributed to beef industry frustrations. Better understanding of the forces causing observed consumer reactions in light of beef food safety events is critical for policy makers and industry participants. We examine whether consumers altered their beef consumption behavior because of their risk aversion and risk perceptions stemming from information about beef food safety in recent years. We use data from a total of 4,000 consumers in the U.S., Canada, Mexico and Japan to estimate a two-stage Probit/double-bounded Tobit modeling framework. Results reveal there are stark... |
