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Estimation of Treatment Effects of Recombinant Bovine Somatotropin Using Matching Samples

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  • Loren W. Tauer

Abstract

The production and profit impacts of recombinant bovine somatotropin (rbST) on select New York dairy farms were estimated using data over the years 1994 through 2004, by comparing matching farms that use and do not use rbST. The use of rbST increases milk production per cow and decreases the cost of production per hundredweight of milk. The cost penalty (cost reduction) is $0.39 per hundredweight for those currently using rbST to stop using rbST, while the average treatment effect is $0.73.

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  • Loren W. Tauer, 2009. "Estimation of Treatment Effects of Recombinant Bovine Somatotropin Using Matching Samples," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 31(3), pages 411-423.
    • Handle: RePEc:oup:revage:v:31:y:2009:i:3:p:411-423.
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    File URL: http://hdl.handle.net/10.1111/j.1467-9353.2009.01446.x
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    1. Zdenko Stefanides & Loren W. Tauer, 1999. "The Empirical Impact of Bovine Somatotropin on a Group of New York Dairy Farms," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 81(1), pages 95-102.
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    6. Knoblauch, Wayne A. & Putnam, Linda D., 2005. "Dairy Farm Business Summary, New York Dairy Farm Renters, 2004," EB Series 122045, Cornell University, Department of Applied Economics and Management.
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