Unveiling Behavioral Economics through meat consumption in the EU by examining macroeconomic and ESG Factors with multiple econometric models

Research Hypothesis and Objectives

This study investigates the determinants of meat consumption in the European Union (EU) by integrating macroeconomic and ESG (Environmental, Social, and Governance) factors within a behavioral economics framework. The key research question is:

How do economic conditions, environmental sustainability factors, and demographic characteristics influence meat consumption patterns in the EU?

The main hypotheses tested include:

Economic factors: GDP and GDP per capita (PPP-adjusted) positively influence meat consumption, while unemployment reduces it.

Environmental factors: Methane emissions correlate positively with meat consumption, while livestock availability affects demand.

Policy factors: Government expenditure and inflation may impact consumption patterns.

Demographics: Population growth and income classification influence meat demand.

Data Description

The dataset consists of panel data from 27 EU member states (2000–2021), with 580 observations. Sources include World Bank, FAO, Eurostat, and the European Environment Agency.

Key Variables:

Dependent: Meat consumption (kg per capita per year).

Independent: GDP, GDP per capita (PPP), unemployment, inflation, livestock availability, methane emissions, government expenditure, and population growth.

Findings and Interpretation

GDP per capita and GDP PPP are strong predictors of higher meat consumption, while unemployment negatively impacts demand.

Methane emissions significantly correlate with meat consumption, linking livestock production to environmental degradation.

Livestock availability influences demand, though less than economic conditions.

Government expenditure and inflation show no significant effect.

Population growth does not directly affect meat consumption, and income ranking is not a strong determinant.

Policy Implications

Sustainability strategies: Carbon pricing for high-emission livestock and incentives for plant-based diets.

Economic measures: Strengthening employment programs to maintain dietary stability.

Environmental regulations: Stricter livestock emission policies and investments in alternative protein sources.

Conclusion

This dataset offers valuable insights for policymakers and researchers on economic, environmental, and policy-driven influences on food consumption. It can be used to develop predictive models, assess economic policies, and analyze sustainability strategies for balancing meat consumption with environmental goals.