Choice Experiments Informing Environmental Policy
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Choice Experiments Informing Environmental Policy

A European Perspective

Edited by Ekin Birol and Phoebe Koundouri

This innovative book is a compilation of state-of-the-art choice experiment studies undertaken in several European Union (EU) countries, including Finland, France, Greece, Ireland, Italy, Poland, Spain and the United Kingdom. The case studies presented concern a variety of environmental, agricultural and natural resource issues – such as the management of water resources, forests and agricultural landscapes; conservation of biodiversity and cultural heritage; noise pollution reduction and food labeling. The book highlights how the choice experiment method can be employed to inform efficient and effective design and implementation of various EU level agricultural and environmental policies and directives, including the Common Agricultural Policy, Water Framework Directive, Forestry Strategy, Habitats Directive and food labeling systems.
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Chapter 7: Latent Market Segmentation Analysis of Choice Experiment Data and Implications for the EU’s GM Labelling Policy?

Andreas Kontoleon and Mitsuyasu Yabe


7. Latent market segmentation analysis of choice experiment data and implications for the EU’s GM labelling policy Andreas Kontoleon and Mitsuyasu Yabe INTRODUCTION: GM LABELLING POLICY AND CONSUMER MARKET SEGMENTATION Over the past ten years the EU’s policy for regulating GM foods has moved from a moratorium-based policy to one based on labelling. This shift in EU GM policy – from an effective ban of GM foods to a regime where such foods can be sold if appropriately labelled – largely reflects an attempt to balance its obligations towards the World Trade Organization and the apparent concerns of portions of the European public (Kalaitzandonakes, 2004). The EU’s most recent GM labelling regime (established in Directives No. 1829/2003 and 1830/2003) has been in effect since April 2004 and is considered to be one of the most rigid and strict GM labelling regimes worldwide (Kalaitzandonakes, 2004). There are four main points of disparity between the EU’s labelling policies and those followed in other countries (Phillips and McNeill, 2000; Sheldon, 2004; Food Standards Agency, 2005). First, the EU has developed a much more stringent, strict and lengthy protocol for the scientific testing and authorisation of each new crop prior to its introduction into the market. Secondly, the EU has opted for a mandatory scheme as opposed to voluntary labelling schemes found in other countries such as the US and Canada. Thirdly, the EU has embraced a much wider range of food products that are to be included in its labelling scheme...

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