Toward Optimal Meat Consumption

19 Pages Posted: 24 Mar 2020

See all articles by Bhagyashree Katare

Bhagyashree Katare

Purdue University

H. Holly Wang

Purdue University - Department of Agricultural Economics

Jonathan Lawing

Purdue University

Na Hao

Beijing Technology and Business University

Michael Wetzstein

Purdue University

Timothy Park

Farm and Rural Business Branch, RRED

Date Written: March 2020

Abstract

External cost from meat consumption raises an issue of possible government mechanisms toward mitigation. Economic theory provides a framework for determining the optimal set of mechanisms considering the associated benefits and costs. Such a theoretical development rests on consumers' responsiveness to alternative mechanisms. Considering two mechanisms, a Pigouvian tax and green‐label education, yields tandem theoretical optimal government mechanisms. Populating this theoretical model with empirically derived elasticities and other parameters provides an application. Results indicate education alone will likely not yield a high social‐optimal level of mitigation. Instead, if external costs warrant government mechanisms, a Pigouvian tax will be required to move consumption toward a socially optimal state.

Keywords: Animal rights, climate change, health effects, labeling, meat tax, prosocial, sustainability

Suggested Citation

Katare, Bhagyashree and Wang, H. Holly and Lawing, Jonathan and Hao, Na and Wetzstein, Michael and Park, Timothy, Toward Optimal Meat Consumption (March 2020). American Journal of Agricultural Economics, Vol. 102, Issue 2, pp. 662-680, 2020, Available at SSRN: https://ssrn.com/abstract=3558935 or http://dx.doi.org/10.1002/ajae.12016

Bhagyashree Katare (Contact Author)

Purdue University ( email )

610 Purdue Mall
West Lafayette, IN 47907
United States

H. Holly Wang

Purdue University - Department of Agricultural Economics

West Lafayette, IN 47907-1145
United States

Jonathan Lawing

Purdue University

610 Purdue Mall
West Lafayette, IN 47907
United States

Na Hao

Beijing Technology and Business University

No. 11/33, Fucheng Road, Haidian District
Liangxiang
Beijing, 102488
China

Michael Wetzstein

Purdue University

610 Purdue Mall
West Lafayette, IN 47907
United States

Timothy Park

Farm and Rural Business Branch, RRED ( email )

355 E Street, SW
Washington, DC 20024-3221
United States
202.694.5446 (Phone)

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
0
Abstract Views
112
PlumX Metrics