This paper estimates an individual level demand model for eggs differentiated by animal welfare. Typically, after minimum quality standards for eggs are raised, the price of higher quality eggs falls. As a result, consumer welfare is redistributed from households who do not value animal welfare...

The problem of inferring unrealistically high prices from choice-based conjoint optimization exercises is widely known among market research practitioners and applied marketing researchers. The literature suggests two approaches to alleviate this problem. One focuses on making the hypothetical...