Document Type

Thesis - Open Access

Award Date

2020

Degree Name

Master of Science (MS)

Department

Economics

First Advisor

Andrea Leschewski

Abstract

As of 2019, fruit beverages comprise an $11 billion industry in the US (Juice Production in the US 2019). There has been a recent push for fortification of fruit juices due to rising consumer health concerns such as obesity and high sugar consumption. Additionally, the 2015-2020 Dietary Guidelines for Americans recommend limiting fruit beverage consumption (Dietary Guidelines Advisory Committee 2020). While there is a rich set of literature analyzing determinants of fruit beverage demand, there is a lack of research analyzing which factors drive consumer expenditures on fortified and unfortified fruit juices (Yen et al. 2004; Storey et al. 2006; Zheng and Kaiser 2008; Okrent and MacEwan 2014). In an evolving industry, an understanding of the determinants of fruit juice expenditures by fortification status is essential to both the industry’s ability to effectively market their products and for policymakers to improve the health of US households. The purpose of this study is to analyze the sociodemographic determinants of US household expenditures on fruit juice by fortification status. Data analysis is conducted using the National Household Food Acquisition and Purchase Survey (FoodAPS). Analytical methods applied in this study include descriptive statistics and double hurdle models. Descriptive statistics compare fortified and unfortified fruit beverage purchases and expenditures across sociodemographic characteristics. Double hurdle models are estimated to determine how income, health, shopping, and sociodemographic characteristics affect households’ decision to purchase, and given purchase, expenditures on each fruit juice category. Findings from this research are applicable to both industry and policymakers. Identifying consumer profiles for each fruit beverage category provides industry with a deeper understanding of their target markets. Additionally, results provide policymakers with the insight needed to develop effective food and nutrition programs.

Library of Congress Subject Headings

Fruit juice industry.
Fruit juices.
Enriched foods.
Consumer behavior.

Format

application/pdf

Number of Pages

51

Publisher

South Dakota State University

Rights

In Copyright - Educational Use Permitted
http://rightsstatements.org/vocab/InC-EDU/1.0/

Included in

Economics Commons

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