Resumen de The use of incentive compatible experiments to value differentiated. Food products: some theoretical and empirical evidences from single-and multi-unit auctions
During the last few years, the continuous appearance of new technical innovations and the strengthening of intensive production systems in agriculture have generated enormous increases in agricultural production that have not been accompanied by a similar increase in demand. This has generated, in the majority of developed countries and in Spain in particular, an excess supply and a decrease of real prices. At the same time, countries' economies have become increasingly international and global, generating a significant rise of competitiveness in the agro-food markets.
Within this new context, there seems to emerge two possible alternative strategies. The first one is based on the optimization of the production system by minimizing costs, increasing technical efficiency and generating economies of scale in order to satisfy the demand, in terms of volume and price, of the highly-concentrated retail sector. The second alternative is to seek product differentiation through perceived quality and innovative design or by considering environmental or safety issues. This strategic orientation is not aimed at increasing production, but rather towards diversifying the food supply by exalting those attributes or benefits which may be valued by the consumers, and thereby differentiating the product from competing products of competitors.
Consequently, an extensive literature has been generated to quantify the economic value of these new attributes or benefits. One of the methods used to estimate the economic value of differentiated products is the consumer Willingness to Pay (WTP). WTP is the maximum amount a person is willing to pay to get a product or a service. In general terms, four alternative methods have been used to estimate consumer WTP for food product: hedonic prices, contingent valuation, conjoint analysis/choice experiments, and experimental auctions. The first method values the attributes of a good in terms of Consequently, an extensive literature has been generated to quantify the economic value of these new attributes or benefits. One of the methods used to estimate the economic value of differentiated products is the consumer Willingness to Pay (WTP). WTP is the maximum amount a person is willing to pay to get a product or a service. In general terms, four alternative methods have been used to estimate consumer WTP for food product: hedonic prices, contingent valuation, conjoint analysis/choice experiments, and experimental auctions. The first method values the attributes of a good in terms of
