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Abstract
Few studies have been performed to use the detailed healthy eating index (HEI) to
estimate consumer demand for diet quality. In this article, we apply household
production theory to systematically estimate consumer demand for diet quality using
the HEI developed by the U.S. Department of Agriculture. The results show that
consumers have insufficient consumption of food containing dark green and orange
vegetables, legumes and whole grains. Age and education have a significant impact on
consumer demand for diet quality, but income does not. The own-price elasticities of
demand for diet quality are inelastic. Simulation of tax scenarios indicates that a tax
on sugar-sweetened beverage may be more efficient than a tax on fats, oils and salad
dressing in improving consumer diet quality. This information is critical for policies
and programs that are designed to improve healthy food choices, thereby reducing the
social cost of public health.