Demand for ready-to-eat cereals with household-level censored purchase data and nutrition label information: A distance metric approach

Jing Li, Edward C. Jaenicke, Tobenna D. Anekwe, Alessandro Bonanno

Research output: Contribution to journalArticle


We investigate the demand for ready-to-eat (RTE) breakfast cereals in the United States using censored, household-level purchase data matched with product-level nutrition data. Instead of using a multi-equation based approach, we propose an alternative approach that relies on Pinkse, Slade, and Brett's (2002) distance-metric (DM) method, which is highly practical and less burdensome computationally than some multiple-equation methods. Among other results, we find that households with children are less price sensitive to cereals with whole grain as the first ingredient and to cereals that contain a higher number of fortified vitamins. In addition, we find that households tend to switch between products with similar fiber content and whole grain content profiles.

Original languageEnglish (US)
Pages (from-to)687-713
Number of pages27
Issue number4
Publication statusPublished - Sep 1 2018


All Science Journal Classification (ASJC) codes

  • Food Science
  • Geography, Planning and Development
  • Animal Science and Zoology
  • Agronomy and Crop Science
  • Economics and Econometrics

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