Spillover Effects of Food Safety Incidents: Role of Consumers' Heterogeneous Safety Preferences

食品安全事件的溢出效应:消费者异质性安全偏好的作用

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Abstract

This study considers consumers' risk perceptions and safety preferences as external shock factors in food safety incidents. These factors are incorporated into a general equilibrium model defined by the food safety hierarchy, and the computational experiment method is employed to examine the direction of spillover effects. According to the findings, the spillover direction and intensity of food safety incidents are jointly influenced by the characteristics of consumers, food and the market. When an incident raises consumers' safety concerns, a negative effect occurs throughout all food sectors. When an incident has a specific impact on consumers' risk perception, the direction of the spillover is contingent upon the safety level of the product in question. In the event that the food involved in an incident is extremely secure, it may have a detrimental effect on unrelated food goods; conversely, it may have a beneficial effect on unrelated food goods. The incident's impact has increased in proportion to the market share of the affected food. When the market share remains constant, the impact intensity increases as the degree of food safety improves. Higher market-wide risk levels are associated with more pronounced and quicker effects. This study improves understanding of spillover patterns in food safety situations, which aids in the formulation of focused policy responses and initiatives.

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