Skip to main content Accessibility help
×
Home
Hostname: page-component-65dc7cd545-fnzx6 Total loading time: 0.19 Render date: 2021-07-26T02:41:52.671Z Has data issue: true Feature Flags: { "shouldUseShareProductTool": true, "shouldUseHypothesis": true, "isUnsiloEnabled": true, "metricsAbstractViews": false, "figures": true, "newCiteModal": false, "newCitedByModal": true, "newEcommerce": true, "newUsageEvents": true }

The Demand for Expert Opinion: Bordeaux Wine*

Published online by Cambridge University Press:  11 September 2013

Orley Ashenfelter
Affiliation:
Economics Department, Princeton University, Princeton, NJ 08544-2098
Gregory V. Jones
Affiliation:
Department of Environmental Studies, 101A Taylor Hall, Southern Oregon University, Ashland, OR 97520; e-mail: gjones@sou.edu.
Corresponding

Abstract

In this paper, we use unique data from the market for Bordeaux wine to test the hypothesis that consumers are willing to pay for expert opinion because it is accurate. Using proprietary indicators of the quality of the vintage, which are based on both publicly and privately available information, we find that additional publicly available information on the weather improves the expert's predictions of subsequent prices. This establishes that the expert opinions are not efficient, in the sense that they can be easily improved, and that these opinions must be demanded, at least in part, for some purpose other than their accuracy. (JEL Classification: D8, Q13)

Type
Articles
Copyright
Copyright © American Association of Wine Economists 2013 

Access options

Get access to the full version of this content by using one of the access options below.

Footnotes

*

We are indebted to Victor Ginsburgh and Karl Storchmann for their comments and encouragement and to Professors Pascal Riberau-Gayon and G. Guimberteau for supplying their vintage rating data.

References

Ashenfelter, O. (2014). A Hedonic Approach to Vineyard Site Selection. Presentation to Fifth Annual Meeting of the Vineyard Data Quantification Society. Journal of Wine Economics, forthcoming.Google Scholar
Ashenfelter, O., Ashmore, D., and Lalonde, R. (1995). Bordeaux wine vintage quality and the weather. Chance, 8(4), 714.CrossRefGoogle Scholar
Byron, R.P., and Ashenfelter, O. (1995). Predicting the quality of an unborn Grange. Economic Record, 71(212), 4053.CrossRefGoogle Scholar
Di Laurea, T. (1996). Modelli econometrici per ‘l'analisi della domanda e della qualità delle bevande alcoliche. Università degli Studi di Verona, Facoltà di Economia, Working paper.Google Scholar
Di Vittorio, A., and Ginsburgh, V. (1994). Red wines of Medoc vintages from 1949 to 1989 at Christie's auctions, Working paper.Google Scholar
Krueger, A.B., and Wu, S. (1998). Forecasting successful economics graduate students. Princeton University, Industrial Relations Section, Working Paper No. 403.Google Scholar
Wilder, J.M. (1997). An Assessment of Austrian Capital Theory and an Analysis of the Real Rate of Return from 1971 to 1996. (Senior Thesis No. 8464). Princeton University.Google Scholar
37
Cited by

Send article to Kindle

To send this article to your Kindle, first ensure no-reply@cambridge.org is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about sending to your Kindle. Find out more about sending to your Kindle.

Note you can select to send to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be sent to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

Find out more about the Kindle Personal Document Service.

The Demand for Expert Opinion: Bordeaux Wine*
Available formats
×

Send article to Dropbox

To send this article to your Dropbox account, please select one or more formats and confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your <service> account. Find out more about sending content to Dropbox.

The Demand for Expert Opinion: Bordeaux Wine*
Available formats
×

Send article to Google Drive

To send this article to your Google Drive account, please select one or more formats and confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your <service> account. Find out more about sending content to Google Drive.

The Demand for Expert Opinion: Bordeaux Wine*
Available formats
×
×

Reply to: Submit a response

Please enter your response.

Your details

Please enter a valid email address.

Conflicting interests

Do you have any conflicting interests? *