Andrew S. Hanks
Ohio State University
130A Campbell Hall
1787 Neil Ave.
Columbus, OH 43210
NBER Working Papers and Publications
|January 2016||Incentivizing Nutritious Diets: A Field Experiment of Relative Price Changes and How They are Framed|
with John Cawley, David R. Just, Brian Wansink: w21929
This paper examines how consumers respond to price incentives for nutritious relative to less-nutritious foods, and whether the framing of the price incentive as a subsidy for nutritious food or a tax on non-nutritious food influences consumers’ responses. Analyzing transaction data from an 8-month randomized controlled field experiment involving 208 households, we find that a 10% relative price difference between nutritious and less nutritious food does not significantly affect overall purchases, although low-income households respond to the subsidy frame by buying more of both nutritious and less-nutritious food.