Scandinavian Working Papers in Economics

Working Paper Series,
Swedish University of Agricultural Sciences, Department Economics

No 2014:2: Got green milk? A field experimental trial of consumer demand for a climate label

Elina Matsdotter (), Katarina Elofsson () and Johan Arntyr ()
Additional contact information
Elina Matsdotter: Department of Economics, Swedish University of Agricultural Sciences, Postal: Department of Economics, Box 7013, Swedish University of Agricultural Sciences, SE-750 07 Uppsala, Sweden
Katarina Elofsson: Department of Economics, Swedish University of Agricultural Sciences, Postal: Department of Economics, Box 7013, Swedish University of Agricultural Sciences, SE-750 07 Uppsala, Sweden
Johan Arntyr: Ramböll Sverige AB, Postal: Ramböll, Krukmakargatan 21, Box 17009, SE-104 62 Stockholm,

Abstract: A majority of consumers claim to prefer climate-labelled food over non-labelled alternatives. However, there is limited empirical evidence that such labels actually influence consumer behaviour when shopping. The purpose of this study is to investigate whether qualitative information about a voluntary climate labelling scheme affects the demand for milk in the short run. In a randomized field experiment conducted in 17 retail stores in Sweden, the effects of a climate label on milk demand was measured. Results suggest that climate labelling increased demand for medium-fat climate labelled milk by approximately 7%. The response is significantly smaller than suggested by consumer surveys but larger than that observed in earlier studies of actual purchasing behaviour where quantitative information on climate impact was provided.

Keywords: Climate labelling; milk; demand; voluntary policy instruments; randomized controlled trial

JEL-codes: D12; D83; Q18; Q54

30 pages, February 13, 2014

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