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AbstractThe 1996 American Agricultural Economics Association (AAEA) Employment Services Committee (ESC) survey results reveal that although enrollments are declining in both undergraduate and graduate programs, faculty numbers are increasing. These trends belie the fact that the increase in faculty has come among nontenure track faculty and that the number of tenure track assistant professors has declined markedly because of fewer hires, promotions, and attrition. One result is an aging tenure track faculty. Salaries among all faculty have been increasing at over 2% per year; however, a greater proportion of faculty is in the nontenure track at lower salaries. Key strategies to reverse declining enrollments are for departments to improve diversity, to gather information on placement of students at all levels, and especially to learn more about private‐industry placements at the undergraduate and masters levels and about foreign employment at the graduate level.

This study estimates the effect risk characteristics, described as outrage factors by Hadden, have on consumers' risk perceptions toward the food‐related biotechnology, recombinant bovine growth hormone (rbGH). The outrage factors applicable to milk from rbGH treated herds are involuntary risk exposure, unfamiliarity with the product's production process, unnatural product characteristics, lack of trust in regulator's ability to protectconsumers in the marketplace, and consumers' inability to distinguish milkfrom rbGH treated herds compared to milk from untreated herds. An empirical analysis of data from a national survey of household food shoppers reveals that outrage factors mediate risk perceptions. The results support the inclusion of outrage factors into the risk perception model for the rbGH product, as they add significantly to the explanatory power of the model and therefore reduce bias compared to a simpler model of attitudinal and demographic factors. The study indicates that outrage factors which have a significant impact on risk perceptions are the lack of trust in the FDA as afood‐related information source, and perceiving no consumer benefits from farmers' use of rbGH. Communication strategies to reduce consumer risk perceptions therefore could utilize agencies perceived as more trustworthy and emphasize the benefits of rbGH use to consumers.

This study is an econometric systems approach to modeling the factors and linkages affecting risk perceptions toward agricultural biotechnology, self‐protection actions, and food demand. This model is applied to milk in the United States, but it can be adapted to other products as well as other categories of risk perceptions. The contribution of this formulation is the ability to examine how explanatory factors influence risk perceptions and whether they translate into behavior and ultimately what impact this has on aggregate markets. Hadden's outrage factors on heightening risk perceptions are among the factors examined. In particular, the article examines the role of labeling as a means of permitting informed consent to mitigate outrage factors. The effects of attitudinal, economic, and demographic factors on risk perceptions are also explored, as well as the linkage between risk perceptions, consumer behavior, and food demand. Because risk perceptions and self‐protection actions are categorical variables and demand is a continuous variable, the model is estimated as a two‐stage mixed system with a covariance correction procedure suggested by Amemiya. The findings indicate that it is the availability of labeling, not the price difference, between that labeled milk and milk produced with recombinant bovine Somatotropin (rbST) that significantly affects consumer's selection of rbST‐free milk. The results indicate that greater availability of labeled milk would not only significantly increase the proportion of consumers who purchased labeled milk, its availability would also reduce the perception of risk associated with rbST, whether consumers purchase it or not. In other words, availability of rbST‐free milk translates into lower risk perceptions toward milk produced with rbST.