Masters Theses
Date of Award
8-2002
Degree Type
Thesis
Degree Name
Master of Science
Major
Agricultural Economics
Major Professor
Kim L. Jensen
Committee Members
Burton C. English, John R. Brooker
Abstract
Environmental wood certification programs could play an important role in conserving forests across countries such that several studies on the feasibility of certification programs have been conducted. The main focus areas of this study are in the state of Pennsylvania and Tennessee. The first objective of this study is to assess consumers’ support and willingness to pay a premium for certified hardwood products. The second objective is to examine how income, demographics and attitudes about the environment, and scope of certification may influence support and willingness to pay a premium for certified hardwood products. Next, the study wants to examine reasons for not supporting certification or supporting certification but not willing to pay. Last, this study examines how income, demographics and attitudes about the environment, and scope of certification may influence reasons for lack of support and not being willing to pay more.
A telephone survey was conducted in March/April of 2001 for the primary used in the study by Jensen, Jakus, and English (2002). Analysis is based on an ordered logistics model, multinomial logistics models, chi-square statistics and t-tests. Logistics models are employed to examine the effects of demographics, attitudes toward environment, and scope of certification on support level and also on reasons for lack of willingness to pay and support cited. Frequencies and mean are used to assess consumer support and willingness to pay.
Results suggest that demand for certified hardwood products in the studied regions exists. About 44 percent of consumers supported and would pay a premium for certified hardwood products. Segment of consumers most likely to support and pay more are female, live in an urban area, contributed to environmental group, recycled in past month, is a frequent forest user, have income less than $50,000, and is not a homeowner. This consumer segment has about 77 chance of supporting and pay more for certification.
Reasons for lack of willingness to pay cited were cannot afford to pay more, company should pay even if it costs more, certification does not add to cost, certification is not worth paying more, and other. Male, contributed to environmental group, recycles, and income $50,000 or greater were the variable with significant influence on the reason cannot afford to pay more. Male, contributed to environmental group, and contributed to hunting/fishing group were significant influenced on the reason wood company should pay even if it costs more. Male, contributed to environmental group, and income $50,000 or greater were significant influenced on the reason certification is not worth paying more.
Primary reasons for not supporting certification indicated by survey participants are environmental certification will not work to improve the environment, certification could lead to regulation, environmental organizations are too powerful, other causes are of higher priority than the environmental certification, wood companies should be regulated rather than certification, and other. Male, contributed to environmental group, and contributed to hunting/fishing group were significant influenced on the reason environmental organizations are too powerful. No variables had significant influence on other reasons.
Recommended Citation
Wiwattarangkul, Pornpat, "An Analysis of Consumer Support for Environmental Certification of Hardwood Products. " Master's Thesis, University of Tennessee, 2002.
https://trace.tennessee.edu/utk_gradthes/2081