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Canadian Orange Juice Imports and Production Level Import Demand

Author

Listed:
  • Liu, Yan
  • Kilmer, Richard L.
  • Lee, Jonq-Ying

Abstract

Import demand equations are estimated in order to identify the own-, cross-price, and volume elasticities that can be used to determine the best marketing strategy to increase U.S. orange juice gallons in the Canadian import market. This study uses the firm’s version of production differential, AIDS, CBS, and NBR models. An expansion of total Canadian orange juice import gallons using advertising favors the U.S. much more than it does the other three origins investigated— Brazil, Mexico, and ROW. A 1% increase in imported gallons of orange juice due to advertising will increase U.S. imports by 1.20% and Brazil’s gallons by 0.60%.

Suggested Citation

  • Liu, Yan & Kilmer, Richard L. & Lee, Jonq-Ying, 2007. "Canadian Orange Juice Imports and Production Level Import Demand," Journal of Agribusiness, Agricultural Economics Association of Georgia, vol. 25(1), pages 1-13.
    • Handle: RePEc:ags:jloagb:62281
    DOI: 10.22004/ag.econ.62281
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    References listed on IDEAS

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    1. Neves, Pedro Duarte, 1994. "A class of differential demand systems," Economics Letters, Elsevier, vol. 44(1-2), pages 83-86.
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    Cited by:

    1. Sun, Changyou, 2015. "An investigation of China's import demand for wood pulp and wastepaper," Forest Policy and Economics, Elsevier, vol. 61(C), pages 113-121.
    2. Heng, Yan & House, Lisa A., 2017. "Do U.S. Suppliers Benefit from South Korea-U.S. Free Trade Agreement? The Case of Orange Juice," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258396, Agricultural and Applied Economics Association.

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