[KSCI] Korea Science Citation Index Service

http://dx.doi.org/10.7851/Ksrp.2020.26.1.137

Study on Economic Valuation of Manufacturing Technology of Platycodon grandiflorum Using Contingent Valuation Method - Focusing on the Virtual Market of Platycodon grandiflorum's Health Functions Food -

Lee, Hyun Ji (Dept. of Agricultural Economics and Rural Development, Seoul National University)
Chang, Insu (Population Policy Research Department, Korea Institute for Health and Social Affairs)
Jo, Haeun (Dept. of Agricultural Economics and Rural Development, Seoul National University)
Kim, Brian H.S (Department of Agricultural Economics and Rural Development, Research Institute of Agriculture and Life Sciences, Seoul National University)

Publication Information

Journal of Korean Society of Rural Planning / v.26, no.1, 2020 , pp. 137-147 More about this Journal

Abstract

Rural Development Administration (RDA) has developed a manufacturing technology which can increase the amount of platycodin D in Platycodon grandiflorum. A study is needed to estimate the value of this new technology and predict the market demand for a new product. This study estimates additional amount of willingness to pay (WTP) using contingent valuation method (CVM) for a new product with the technology that RDA has developed. The survey was created under virtual health functional foods market of Platycodon grandiflorums. It was conducted with 1,000 adult males and females aged between 19 and 59 years old in 17 major cities and provinces nationwide from December 4 to December 7, 2018. The amount of WTP for the health functional Platycodon grandiflorum was drawn using maxinum likelihood estimation method. The estimated average and median WTP values are 21,933.85 won per person and 10,000 won per person, respectively. The independent factors, including the ratio of monthly average health function food consumption to income, the average monthly income level of a household, and existence of family members or relatives engaged in food and nutrition-related professions in a household, have been shown to have a statistically significant influence on the WTP. This study presents the potential magnitude of health functional food market and the value of the new technology based on health functional food market.

Keywords

Contingent Valuation Method; Willingness to Pay; Economic Valuation; Platycodon grandiflorum;

Citations & Related Records

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