AAWE, Economics Dept, New York University, 19 W 4th St, 6Fl., New York NY 10012aawe@wine-economics.org

AAWE Working Paper No. 129

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AAWE Working Paper No. 129

Expert opinions and Bordeaux wine prices:
An Attempt to Correct the Bias of Subjective Judgments

Jean-Marie Cardebat and Jean-Marc Figuet

Abstract

Since wine is an experience good, experts may help to fill a lack of information to non-expert consumers. In the literature, the true impact of experts on the pricing of wine is unclear. Do they really influence the price? Is there a Parker effect? Or are meteorological conditions predominant? We use a dataset concerning the scores attributed to wines from France, Spain and United States by 19 experts over the period 2000-2010 and the corresponding meteorological conditions. The data aims to avoid endogeneity and bias rooted in errors of judgment. We show that Bordeaux wine prices are very sensitive to expert ratings, but this impact is not higher than it is for Californian wines or Spanish wines. Furthermore, we did not find any direct evidence of a Parker effect for Bordeaux wine, but a presumption of measurement errors of any individual expert.

 

 

This article was written by Karl Storchmann

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