IDEAS home Printed from https://ideas.repec.org/a/cup/jagaec/v24y1992i01p271-282_02.html
   My bibliography  Save this article

Market Impacts Of Bovine Somatropin: A Supply And Demand Analysis

Author

Listed:
  • Kaiser, Harry M.

Abstract

The potential economic impacts of the introduction of bovine somatotropin (bST) on U.S. milk supply and demand are analyzed using a national model of Class I and Class II milk markets. The results indicate that the introduction of bST will lead to lower milk prices, higher milk production, and larger government purchases of dairy products. Unlike previous economic analyses of bST, this analysis considers both supply and demand effects of bST. The implication is that studies that ignore potential demand-side effects may produce misleading results.

Suggested Citation

  • Kaiser, Harry M., 1992. "Market Impacts Of Bovine Somatropin: A Supply And Demand Analysis," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 24(1), pages 271-282, July.
  • Handle: RePEc:cup:jagaec:v:24:y:1992:i:01:p:271-282_02
    as

    Download full text from publisher

    File URL: https://www.cambridge.org/core/product/identifier/S0081305200026182/type/journal_article
    File Function: link to article abstract page
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Milligan, Robert & Lesser, William H. & Magrath, William B. & Bauman, Dale, 1984. "Biotechnology and the Dairy Industry: Production Costs and Commercial Potential of the Bovine Growth Hormone," Research Bulletins 184066, Cornell University, Department of Applied Economics and Management.
    2. Jean-Paul Chavas & Richard M. Klemme, 1986. "Aggregate Milk Supply Response and Investment Behavior on U.S. Dairy Farms," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 68(1), pages 55-66.
    3. Harry M. Kaiser & Loren W. Tauer, 1989. "Impact of Bovine Somatotropin on U.S. Dairy Markets under Alternative Policy Options," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 11(1), pages 59-73.
    4. Bruce W. Marion & Robert L. Wills, 1990. "A Prospective Assessment of the Impacts of Bovine Somatotropin: A Case Study of Wisconsin," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 72(2), pages 326-336.
    5. Kaiser, Harry M. & Scherer, Clifford W. & Barbano, David M., 1992. "Consumer Perceptions And Attitudes Towards Bovine Somatotropin," Northeastern Journal of Agricultural and Resource Economics, Northeastern Agricultural and Resource Economics Association, vol. 21(1), pages 1-11, April.
    6. Loren W. Tauer & Harry M. Kaiser, 1991. "Optimal Dairy Policy with Bovine Somatotropin," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 13(1), pages 1-17.
    7. McGuirk, Anya M. & Kaiser, Harry M., 1991. "bST & Milk: Benefit or Bane?," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 6(1), pages 1-5.
    8. William B. Magrath & Loren W. Tauer, 1988. "New York Milk Supply with Bovine Growth Hormone," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 10(2), pages 233-241.
    9. Magrath, William B. & Tauer, Loren W., 1986. "The Economic Impact Of Bgh On The New York State Dairy Sector: Comparative Static Results," Northeastern Journal of Agricultural and Resource Economics, Northeastern Agricultural and Resource Economics Association, vol. 15(1), pages 1-8, April.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kaiser, Harry M., 1990. "Bovine Somatotropin and Milk Production: Potential Impacts for the U.S," Staff Papers 121538, Cornell University, Department of Applied Economics and Management.
    2. Caswell, Margriet F. & Fuglie, Keith O. & Klotz, Cassandra A., 1994. "Agricultural Biotechnology: An Economic Perspective," Agricultural Economic Reports 262025, United States Department of Agriculture, Economic Research Service.
    3. Jarvis, Lovell S., 2000. "THE POTENTIAL EFFECT OF RECOMBINANT BOVINE SOMATOTROPIN (rbST) ON WORLD DAIRYING," Transitions in Agbiotech: Economics of Strategy and Policy, June 24-25, 1999, Washington, D.C. 26003, Regional Research Project NE-165 Private Strategies, Public Policies, and Food System Performance.
    4. Helming, John F.M. & Hammond, Jerome W., 1991. "Potential Impacts Of Bst On The Minnesota Milk Supply," Staff Papers 14119, University of Minnesota, Department of Applied Economics.
    5. Kanter, Christopher & Messer, Kent D. & Kaiser, Harry M., 2008. "Do rBST-Free and Organic Milk Stigmatize Conventionally Produced Milk?," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 43491, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Tauer, Loren W., 1993. "Segmenting the Milk Market into bST-Produced and Non-bST-Produced Milk," Staff Papers 121326, Cornell University, Department of Applied Economics and Management.
    7. Jura Liaukonyte & Nadia A. Streletskaya & Harry M. Kaiser, 2015. "The Long-Term Impact of Positive and Negative Information on Food Demand," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 63(4), pages 539-562, December.
    8. Kalaitzandonakes, Nicholas G. & Bjornson, Bruce, 1997. "Vertical And Horizontal Coordination In The Agro-Biotechnology Industry: Evidence And Implications," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 29(1), pages 1-11, July.
    9. Tauer, Loren W. & Kaiser, Harry M., 1989. "Optimal Government Policy In Response To Bovine Somatotropin," 1989 Annual Meeting, July 30-August 2, Baton Rouge, Louisiana 270658, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    10. Govindasamy, Ramu & Liu, Donald & Kliebenstein, James, 1993. "Economic Impacts of Porcine Somatotropin on a Farrow-to-Finish Hog Farm Operation," ISU General Staff Papers 199302010800001247, Iowa State University, Department of Economics.
    11. Loren W. Tauer, 1994. "The value of segmenting the milk market into bST-Produced and Non-bST-Produced milk," Agribusiness, John Wiley & Sons, Ltd., vol. 10(1), pages 3-12.
    12. McGuirk, Anya M. & Preston, Warren P. & Jones, Gerald M., 1992. "Introducing Foods Produced Using Biotechnology: The Case Of Bovine Somatotropin," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 24(1), pages 1-15, July.
    13. An, Henry, 2008. "The Adoption and Disadoption of Recombinant Bovine Somatotropin in the U.S. Dairy Industry," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6278, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    14. Kent D. Messer & Todd M. Schmit & Harry M. Kaiser, 2005. "Optimal Institutional Mechanisms for Funding Generic Advertising: An Experimental Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(4), pages 1046-1060.
    15. Trapp, James N., 1989. "The Dawning Of The Age Of Dynamic Theory: Its Implications For Agricultural Economics Research And Teaching," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 21(1), pages 1-11, July.
    16. Peterson, Hikaru Hanawa, 2002. "Geographic Changes In U.S. Dairy Production," 2002 Annual meeting, July 28-31, Long Beach, CA 19792, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    17. Aadland, David, 2004. "Cattle cycles, heterogeneous expectations and the age distribution of capital," Journal of Economic Dynamics and Control, Elsevier, vol. 28(10), pages 1977-2002, September.
    18. Otero G., 1989. "Industry-university relationship and biotechnology in the dairy and sugar industries: contrast between Mexico and the United States," ILO Working Papers 992650603402676, International Labour Organization.
    19. Fabienne Féménia & Alexandre Gohin, 2010. "Faut-il une intervention publique pour stabiliser les marchés agricoles ? Revue des questions non résolues," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 91(4), pages 435-456.
    20. Wang, Qingbin & Fuller, Frank H. & Hayes, Dermot J. & Halbrendt, Catherine K., 1998. "Chinese Consumer Demand For Animal Products And Implications For U.S. Pork And Poultry Exports," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 30(1), pages 1-14, July.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cup:jagaec:v:24:y:1992:i:01:p:271-282_02. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Kirk Stebbing (email available below). General contact details of provider: https://www.cambridge.org/aae .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.