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Effect of Generic Advertising on the Demand for Fluid Milk: The Case of the Texas Market Order

Published online by Cambridge University Press:  05 September 2016

Oral Capps Jr  and
John D. Schmitz
Oral Capps Jr
Affiliation:
Department of Agricultural Economics, Texas A&M University
John D. Schmitz
Affiliation:
Department of Agricultural Economics, Texas A&M University
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Abstract

This analysis indicates that generic advertising expenditures, ceteris paribus, generated rightward shifts in demand for fluid milk in the Texas Market Order over the period January 1980 to September 1988. Generally, the results from this study are in agreement with previous research efforts which suggest that generic advertising can increase the demand for fluid milk. Importantly, in this analysis, the impacts of television and radio advertising have been effectively disentangled. Television advertising generates a response that wears off more quickly than radio advertising. Also, the long-run effect of radio advertising is about 1.75 times greater than the long-run effect of television advertising.

Keywords

generic advertisingfluid milkdistributed lag models
Type
Articles
Information
Journal of Agricultural and Applied Economics , Volume 23 , Issue 2 , December 1991 , pp. 131 - 140
Copyright
Copyright © Southern Agricultural Economics Association 1991

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