Working Paper: NBER ID: w30063
Authors: D. Mark Anderson; Kerwin Kofi Charles; Michael McKelligott; Daniel I. Rees
Abstract: We examine the effect of enforcing minimum quality standards (MQSs) on consumer health. In the late 1800s, the urban milk supply was regularly skimmed and diluted with water, but consumers could not easily determine its quality because dyes, caramel, and salt were added. To protect consumers, milk inspectors were tasked with enforcing a well-defined MQS. Using city-level data for the period 1880-1910, we find that milk inspections reduced mortality from waterborne and foodborne diseases by 12-19 percent. Ours is the first study to provide evidence that MQSs can improve consumer health when directly applied to an experience or credence good.
Keywords: minimum quality standards; milk inspections; urban mortality; consumer health
JEL Codes: H75; I18; J18; L51; N31
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
Cause | Effect |
---|---|
Milk inspections (L66) | Discouragement of dilution of milk with contaminated water (D18) |
Enforcement of minimum quality standards (MQS) through milk inspections (L15) | Improved consumer health outcomes (I14) |
Milk inspections (L66) | Reduction in mortality from waterborne diseases (I14) |