Skip to main content
SpringerLink
Log in
Book cover

Encyclopedia of Law and Economics pp 1229–1231Cite as

Labeling

  • Reference work entry
  • First Online:

  • 88 Accesses

Synonyms

Certification Labeling; Marking

Definition

Labeling is the affixing of a mark and symbol or identifying word or phrase to a product or process for the purpose of providing information about an undetectable attribute. The attribute could be a product ingredient, a manufacturing process, or an aspect of the production process anywhere along the supply chain.

Labeling

The economic study of labeling generally refers to the research regarding the welfare impacts of descriptions, marks, or symbols affixed to a product for the purpose of providing consumer information, typically concerning a credence attribute. A credence attribute (Darby and Karni 1973) exists when consumers cannot detect the attribute even after consuming the product and must rely upon provided labeling information. Examples of labeled attributes are nutritional labels, organic labels, eco-labels, or safety information. Such attribute labels concern either the final-stage manufacturing of the product or some...

This is a preview of subscription content, log in via an institution.

Chapter
USD   29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD   819.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD   1,099.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Learn about institutional subscriptions

References

  • Akerlof G (1970) The market for “Lemons”: quality uncertainty and the market mechanism. Q J Econ 84:488–500

    Article  Google Scholar 

  • Bonroy O, Constantatos C (2015) On the economics of labels: how their introduction affects the functioning of markets and the welfare of all participants. Am J Agric Econ 97:239–259

    Article  Google Scholar 

  • Bruce AS, Lusk JL, Crespi JM, Cherry JBC, McFadden BR, Savage CR, Bruce JM, Brooks WM, Martin LE (2014) Consumer brain responses to controversial food technologies and price. J Neurosci Psychol Econ 7:164–173

    Article  Google Scholar 

  • Caswell J, Mojduszka M (1996) Using information labelling to influence the market for quality in food products. Am J Agric Econ 78:1248–1253

    Article  Google Scholar 

  • Crespi JM, Marette S (2003a) Some economic implications of public labelling. J Food Distrib Res 34:83–94

    Google Scholar 

  • Crespi JM, Marette S (2003b) “Does Contain” vs. “Does Not Contain”: how should GMO labelling be promoted? Eur J Law Econ 16:327–344

    Article  Google Scholar 

  • Darby M, Karni E (1973) Free competition and the optimal amount of fraud. J Law Econ 16:67–88

    Article  Google Scholar 

  • Giannakas K (2002) Information asymmetries and consumption decisions in organic food product markets. Can J Agric Econ 50:35–50

    Article  Google Scholar 

  • Kiesel K, Villas-Boas SB (2013) Can information costs affect consumer choice? Nutritional labels in a supermarket experiment. Int J Ind Organiz 31:153–163

    Article  Google Scholar 

  • Krarup S, Russell CS (eds) (2005) Environment, information and consumer behaviour. New horizons in environmental economics. Edward Elgar, Northampton

    Google Scholar 

  • Lapan H, Moschini G (2007) Grading, minimum quality standards, and the labelling of genetically modified ingredients. Am J Agric Econ 89:769–783

    Article  Google Scholar 

  • Levin IP, Gaeth GJ (1988) How consumers are affected by the framing of attribute information before and after consuming the product. J Consum Res 15:374–378

    Article  Google Scholar 

  • Marette S (2014) Economic benefits coming from the absence of labels proliferation. J Agric Food Ind Organ 12:1–9

    Google Scholar 

  • Marette S, Roosen J (2011) Bans and labels with controversial food technologies. In: Lusk JL, Roosen J, Shogren JE (eds) The Oxford handbook of the economics of food consumption and policy. Oxford University Press, Oxford, pp 499–519

    Google Scholar 

  • Matoo A, Singh HV (1994) Eco-labelling: policy considerations. Kyklos 47:53–65

    Article  Google Scholar 

  • Roe BE, Sheldon I (2007) Credence good labelling. The efficiency and distributional implications of several policy approaches. Am J Agric Econ 89:1020–1033

    Article  Google Scholar 

  • Roe BE, Teisl MF, Deans CR (2014) The economics of voluntary versus mandatory labels. Ann Rev Resour Econ 6:1–21

    Article  Google Scholar 

  • Teisl MF, Roe BE (1998) The economics of labeling: an overview of issues for health and environmental disclosure. Agric Resour Econ Rev 27:140–150

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Iowa State University, Ames, IA, USA

    John M. Crespi

Authors
  1. John M. Crespi
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to John M. Crespi .

Editor information

Editors and Affiliations

  1. MRE and University of Montpellier, Montpellier, France

    Alain Marciano

  2. Faculté d’Economie, Université de Montpellier and LAMETA-UMR CNRS, Montpellier, France

    Alain Marciano

  3. DiGSPES, University of Eastern Piedmont, Alessandria, Italy

    Giovanni Battista Ramello

  4. IEL, Torino, Italy

    Giovanni Battista Ramello

Rights and permissions

Reprints and permissions

Copyright information

© 2019 Springer Science+Business Media, LLC, part of Springer Nature

About this entry

Check for updates. Verify currency and authenticity via CrossMark

Cite this entry

Crespi, J.M. (2019). Labeling. In: Marciano, A., Ramello, G.B. (eds) Encyclopedia of Law and Economics. Springer, New York, NY. https://doi.org/10.1007/978-1-4614-7753-2_279

Download citation

Publish with us

Policies and ethics

Search

Navigation