By Brandon McFadden –
For example, you can now buy “premium” water that’s not only free of GMOs and gluten but certified kosher and organic. Never mind that not a single drop of water anywhere contains either property or is altered in any way by those designations.
While some labels provide useful information that is not readily detectable by consumers, others contain misleading claims that exploit a knowledge gap with consumers and take advantage of their willingness to pay a premium for so-called process labels. For example, details on a product’s country of origin are helpful; labeling a bottle of water “gluten free” and “non-GMO” much less so.
In my experience as a food economist, such “fake transparency” does nothing to inform consumers about the nature of their foods. Moreover, it can actually decrease well-being when accompanied by a higher price tag. A new labeling law set to take effect next year will only make matters worse.