IDEAS home Printed from https://ideas.repec.org/a/oup/ajagec/v73y1991i1p89-102..html
   My bibliography  Save this article

Price Changes, Supply Elasticities, Industry Organization, and Dairy Output Distribution

Author

Listed:
  • Adesoji O. Adelaja

Abstract

Long-run price elasticities of milk supply are decomposed into price elasticities of yield, herd size, and farm population. For northeastern U.S. dairy farms, these elasticities are shown to vary with farm size because of size-related differences in capital intensity, specialization, yield and herd size variability, and rates of entry/exit into dairy. In the short run, price responsiveness is shown to decrease with farm size. In the long run, large farms are shown to be most price responsive. Results suggest that lower milk prices could make revenue distribution less equal in both the short and long run by altering output and population distributions.

Suggested Citation

  • Adesoji O. Adelaja, 1991. "Price Changes, Supply Elasticities, Industry Organization, and Dairy Output Distribution," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(1), pages 89-102.
    • Handle: RePEc:oup:ajagec:v:73:y:1991:i:1:p:89-102.
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.2307/1242886
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Adelaja, Adesoji O. & Miller, Tracy & Taslim, Mohammad, 1998. "Land Values, Market Forces, and Declining Dairy Herd Size: Evidence from an Urban-Influenced Region," Agricultural and Resource Economics Review, Cambridge University Press, vol. 27(1), pages 63-71, April.
    2. Omezzine, Abdallah & Al-Jabri, Omar S., 1998. "Price supply response of vegetable growers in the Sultanate of Oman," Agricultural Economics, Blackwell, vol. 19(3), pages 349-358, December.
    3. Unknown, 1998. "Commodity Costs and Returns Estimation Handbook (entire book-condensed file)," Commodity Costs and Returns Estimation Handbook,, Iowa State University.
    4. Tauer, Loren W., 1998. "Estimates of Individual Dairy Farm Supply Elasticities," Working Papers 179370, Cornell University, Department of Applied Economics and Management.
    5. Willard C. Losinger, 2006. "Evaluating the uncertainty in estimates of the economic impacts of Bovine‐Leukosis virus in U.S. dairy cows," Agricultural Economics, International Association of Agricultural Economists, vol. 35(3), pages 363-372, November.
    6. Min, S. & Wang, X. & Liu, M. & Huang, J., 2018. "The Asymmetric Response of Farmers to the Expected Change of Rubber Price: the Roles of Sunk Cost and Path Dependency," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277316, International Association of Agricultural Economists.
    7. Unknown, 1998. "References/Literature Cited," Commodity Costs and Returns Estimation Handbook,, Iowa State University.
    8. Min, Shi & Wang, Xiaobing & Liu, Min & Huang, Jikun, 2018. "The asymmetric response of farmers to an expected change in the price of rubber: The roles of sunk costs and path dependency," Land Use Policy, Elsevier, vol. 79(C), pages 585-594.
    9. Jean Joseph Minviel & Timo Sipiläinen, 2021. "A dynamic stochastic frontier approach with persistent and transient inefficiency and unobserved heterogeneity," Agricultural Economics, International Association of Agricultural Economists, vol. 52(4), pages 575-589, July.
    10. Mosnier, Claire & Wieck, Christine, 2010. "Determinants of spatial dynamics of dairy production: a review," Discussion Papers 162896, University of Bonn, Institute for Food and Resource Economics.
    11. Vavra, Pavel & Colman, David, 2003. "The analysis of UK crop allocation at the farm level: implications for supply response analysis," Agricultural Systems, Elsevier, vol. 76(2), pages 697-713, May.
    12. Howard Doran, 1993. "Testing Nonnested Models," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 75(1), pages 95-103.

    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:oup:ajagec:v:73:y:1991:i:1:p:89-102.. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Oxford University Press (email available below). General contact details of provider: https://edirc.repec.org/data/aaeaaea.html .

    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.