Epsilon Archive for Student Projects

Abstract

This study examines the economic and non-economic determinants of per-capita beef consumption across 43 countries from 2015 to 2022. To this end, a pooled log-log Ordinary Least Squares regression model with clustered standard errors was employed. The included independent variables are GDP per capita, beef prices, food price inflation, consumption of alternative protein sources and animal protection index. Expanding from previous studies that only focus on income and price, this research includes Animal Protection Index, an underexplored variable. By integrating Engel’s Law and Maslow’s Hierarchy of Needs into the analytical framework, the study captures both basic and higher levels of human needs that might explain beef consumption. The results show that income remains the most consistent predictor of beef consumption while fish acts as a substitute and poultry is considered a complement. Moderate levels of animal welfare legislation are associated with higher beef intake, indicating nuanced relationships between societal values and consumption patterns. Diagnostic testing ensures model reliability and Engel curve figures illustrate how income elasticities vary by animal welfare standards. These findings highlight the need for policies that promote the consumption of sustainably sourced fish to reduce beef consumption.