Using an economic experiment to estimate willingness-to-pay for a new maternal nutrient supplement in Ghana

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Study Justification:
The study aims to estimate the willingness-to-pay (WTP) for a new maternal nutrient supplement in Ghana. This is important because scaling up access to supplements that prevent undernutrition, such as small-quantity lipid-based nutrient supplements (SQ-LNS), requires understanding the demand at the household level. By conducting an economic experiment, the study provides valuable insights into the initial WTP for the maternal SQ-LNS product in Ghana.
Highlights:
1. Positive WTP: The study found that the majority of participants expressed a positive WTP for the maternal SQ-LNS product. This indicates a potential demand for the supplement among households in Ghana.
2. Cost of production: However, the WTP was found to be below the estimated cost of production for many participants. This suggests that the current pricing of the supplement may not be sustainable for widespread distribution.
3. Factors influencing WTP: The study identified income, assets, and parity status as factors that influence WTP. Understanding these factors can help tailor pricing strategies and distribution mechanisms to target specific groups effectively.
Recommendations:
1. Pricing strategy: Based on the findings, it is recommended to reassess the pricing of the maternal SQ-LNS product to ensure it aligns with the WTP of the target population. This may involve exploring cost reduction measures or subsidy options.
2. Distribution mechanisms: The study highlights the need for hybrid public-private delivery mechanisms to ensure widespread access to the supplement. Public channels and retail markets should be considered for distribution, taking into account the demand and affordability of the target population.
Key Role Players:
1. Researchers: Experts in economics, nutrition, and public health will be needed to conduct further research and analysis.
2. Government agencies: Collaboration with government agencies responsible for public health and nutrition policies is crucial for implementing the recommendations.
3. Non-governmental organizations (NGOs): NGOs working in the field of nutrition and maternal health can play a significant role in advocating for the implementation of the study’s recommendations.
4. Retailers: Collaboration with retailers is essential for the distribution of the maternal SQ-LNS product through retail markets.
Cost Items for Planning Recommendations:
1. Research funding: Budget allocation for further research, data collection, and analysis.
2. Production cost assessment: Funding for assessing the cost of production and potential cost reduction measures.
3. Pricing strategy development: Budget for conducting market research and developing a pricing strategy that aligns with the WTP of the target population.
4. Distribution infrastructure: Funding for establishing and maintaining distribution channels, including public channels and retail markets.
5. Public awareness campaigns: Budget for public education and awareness campaigns to promote the benefits and availability of the maternal SQ-LNS product.

Scaling up access to supplements designed to prevent undernutrition, such as new small-quantity lipid-based nutrient supplements (SQ-LNS), may require distribution via both public channels and retail markets. The viability of SQ-LNS retail markets will hinge on household-level demand. We use an economic experiment to characterize initial willingness-to-pay (WTP) for a maternal SQ-LNS product in Ghana. WTP is positive for most participants, though below the estimated cost of production for many. WTP varies depending on income, assets, and parity status. These findings have implications for the design of public health policy and hybrid public–private delivery mechanisms.

Title: Estimating willingness-to-pay for maternal nutrient supplements in Ghana through an economic experiment
Description: To improve access to maternal health in Ghana, it is recommended to estimate the willingness-to-pay (WTP) for a new maternal nutrient supplement. This can be achieved through an economic experiment, as suggested by a study published in Agricultural Economics (United Kingdom) in 2016. The study emphasizes the importance of scaling up access to supplements, such as small-quantity lipid-based nutrient supplements (SQ-LNS), which can prevent undernutrition. The distribution of these supplements should be done through both public channels and retail markets, with the viability of the latter depending on household-level demand. The economic experiment revealed that WTP was positive for most participants, although it fell below the estimated cost of production for many. Additionally, the study found that WTP varied based on factors such as income, assets, and parity status. These findings have significant implications for the development of public health policies and hybrid public-private delivery mechanisms, enabling strategies to make maternal nutrient supplements more affordable and accessible in Ghana.
Publication: Agricultural Economics (United Kingdom), Volume 47, No. 5, Year 2016
AI Innovations Description
The recommendation to improve access to maternal health is to use an economic experiment to estimate the willingness-to-pay for a new maternal nutrient supplement in Ghana. This recommendation is based on a study published in Agricultural Economics (United Kingdom) in 2016.

The study suggests that scaling up access to supplements designed to prevent undernutrition, such as small-quantity lipid-based nutrient supplements (SQ-LNS), may require distribution through both public channels and retail markets. However, the viability of SQ-LNS retail markets depends on household-level demand.

To understand the initial willingness-to-pay (WTP) for a maternal SQ-LNS product in Ghana, the study conducted an economic experiment. The results showed that WTP was positive for most participants, although it was below the estimated cost of production for many. The study also found that WTP varied depending on income, assets, and parity status.

These findings have important implications for the design of public health policy and hybrid public-private delivery mechanisms. By understanding the WTP for maternal nutrient supplements, policymakers and stakeholders can develop strategies to make these supplements more affordable and accessible to improve maternal health in Ghana.
AI Innovations Methodology
In order to improve access to maternal health, one potential recommendation is to develop and distribute a new maternal nutrient supplement, such as the small-quantity lipid-based nutrient supplement (SQ-LNS), in Ghana. To simulate the impact of this recommendation on improving access to maternal health, a methodology involving an economic experiment can be employed.

The methodology involves conducting an economic experiment to estimate the willingness-to-pay (WTP) for the new maternal SQ-LNS product among participants in Ghana. This experiment aims to determine the amount of money individuals are willing to pay for the supplement, which can provide insights into the demand and affordability of the product.

The experiment would involve recruiting a representative sample of participants from different income levels, assets, and parity statuses in Ghana. These participants would be presented with the opportunity to purchase the maternal SQ-LNS product at different price points. By observing the participants’ purchasing decisions, their WTP for the product can be estimated.

The findings of the economic experiment would provide valuable information on the initial WTP for the maternal SQ-LNS product in Ghana. It would reveal whether the WTP is positive for most participants and whether it falls below the estimated cost of production for many. Additionally, the experiment would help identify variations in WTP based on income, assets, and parity status.

These findings would have implications for the design of public health policies and the development of hybrid public-private delivery mechanisms. They would inform decision-makers about the potential demand for the maternal SQ-LNS product and the affordability of the supplement for different segments of the population. This information can guide the scaling up of access to the supplement, ensuring it reaches those who need it most and can afford it.

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