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Abstract

In this paper we investigate preferences for fat in milk through a structural characteristics model. The data includes information about daily purchases and social and demographic characteristics of approximately 2500 households. We find that consumers who prefer milk with a very high fat content can be reached both by information and prices, while consumers who prefer milk with a moderate to high fat share are not influenced by information, but are price sensitive. This is of great importance since these households drink a lot of milk and thereby get a considerable amount of fat through milk

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