Hostname: page-component-586b7cd67f-t7czq Total loading time: 0 Render date: 2024-11-26T17:14:06.579Z Has data issue: false hasContentIssue false
  • English
  • Français

An Economic Analysis of Selected U. S. Dairy Program Changes

Published online by Cambridge University Press:  28 April 2015

Glen D. Whipple ,
Charles Powe  and
Morgan Gray
Glen D. Whipple
Affiliation:
Division of Agricultural Economics, University of Wyoming, University of Tennessee University of Tennessee
Charles Powe
Affiliation:
Department of Agricultural Economics, Mississippi State University
Morgan Gray
Affiliation:
Department of Agricultural Economics, University of Tennessee
Get access Rights & Permissions [Opens in a new window]

Abstract

An interregional reactive programming model of the United States dairy industry is used to test the welfare implications of several dairy program changes on milk producers, milk consumers, and taxpayers. The results showed that each of the tested alternatives (price support reduction, price support reduction with frozen minimum Class I price, assessments, and production quotas) could reduce price support expenditures substantially. However, assessments reduced expenditures most effectively in terms of cost to milk producers for the United States generally while price support reduction with frozen minimum Class I price was most efficacious in terms of cost to Southeast producers.

Keywords

dairy policywelfare analysisreactive programming
Type
Articles
Information
Journal of Agricultural and Applied Economics , Volume 17 , Issue 2 , December 1985 , pp. 181 - 192
Copyright
Copyright © Southern Agricultural Economics Association 1985

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Babb, E. M. and Bessler, D. A.. Factors Affecting Over-Order Payments in Federal Milk Marketing Orders, 1965-80. Agricultural Experiment Station, Purdue University, Research Bulletin 977; June, 1983.Google Scholar
Brandow, G. E.Interrelations Among Demand for Farm Products and Implications for Control of Market Supply. Pennsylvania Agricultural Experiment Station Bulletin 680, Pennsylvania State University, 1961.Google Scholar
Buxton, B. M. and Hammond, J. W.. “Social Cost of Alternative Dairy Price Support Levels.” Amer. J. Agr. Econ., 56,2(1974):286–291.CrossRefGoogle Scholar
Chen, D., Courtney, R., and Schmitz, A.. “A Polynomial Lag Formulation of Milk Production Response.” Amer. J. Agr. Econ., 54,1(1972):77–83.CrossRefGoogle Scholar
Dahlgran, R. A. “Welfare Costs and Interregional Income Transfers Due to Regulation of Dairy Markets.” Amer. J. Agr. Econ., 62,2(1980):288–296.CrossRefGoogle Scholar
George, P. S. and King, G. A.. Consumer Demand for Food Commodities in the United States with Projections for 1980. Giannini Foundation, Monograph No. 26, California Agricultural Experiment Station; Berkeley, 1971.Google Scholar
Hallberg, M.C., Hahn, D. E., Stammer, R. W., Elterick, G. J., and Fife, C. E.. Impact of Alternative Federal Milk Order Pricing Policies on the U. S. Dairy Industry. Pennsylvania State Agricultural Experiment Station Bulletin No. 818; May, 1978.Google Scholar
Ippolitto, R. A. and Masson, R. T.. “The Social Cost of Government Regulation of Milk.” J. Law and Econ., 21(1978):33–65.CrossRefGoogle Scholar
Kessel, R. A. “Economic Effects of Federal Regulation of Milk Markets.” J. Law and Econ., 10(1967):51–78.CrossRefGoogle Scholar
Lough, H. W.Truck Transportation Costs of Bulk Milk. Washington, D. C; U. S. Department of Agriculture, ESCS, Agr. Econ. Report 427, 1979.Google Scholar
Seale, A. D. Jr. and Trammel, T. E.. “Reactive Programming Models.” pp. 47–58, in King, R. A. (ed.) Interregional Competition Research Methods, Agricultural Policy Institute Series 10, North Carolina State University, Raleigh, 1963.Google Scholar
U. S. Department of Agriculture. Agricultural Prices, Annual Summary. Crop Reporting Board, ESCS U. S. Government Printing Office, Washington, D. C, 1981a.Google Scholar
U. S. Department of Agriculture. Agricultural Statistics. U. S. Government Printing Office, Washington, D. C, 1981b.Google Scholar
U. S. Department of Agriculture. Dairy Outlook and Situation. National Economics Division, ERS U. S. Government Printing Office, Washington, D. C; December, 1982.Google Scholar
U. S. Department of Agriculture. Milk: Production Disposition Income 1979-81. Crop Rotating Board, ESS, U. S. Government Printing Office, Washington, D. C, 1981c.Google Scholar
U. S. Department of Agriculture. Federal Milk Order Market Statistics. Agricultural Marketing Service U. S. Government Printing Office, Washington, D. C, 1981d.Google Scholar
Whipple, Glen D. “An Analysis of Reconstituted Fluid Milk Pricing Policy.” Amer. J. Agr. Econ., 65,2(1983):207–213.CrossRefGoogle Scholar