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A Comparison of Market Exit Prices between Kentucky Dairy Producers and Average United States Dairy Producers

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  • Nolan, Derek T.
  • Saghaian, Sayed

Abstract

The number of dairy operations and cow numbers in the United States is declining. This leads to the question of whether the decline is nationwide or in specific areas of the country and what regional effects may cause a drop in cow cumbers. This question was analyzed in many ways. Using the GLM procedure in SAS it was determined that total operating cost and profit margin were significantly different in regions of the country. Change in cow numbers however was not significantly affected by the total operating cost or profit margin received by dairy producers. Even though the southeast region experienced the highest profit margins they also accounted for the highest drop in cow numbers. These results suggest that region of the country is significant when analyzing operating costs and profit margins but does not explain the drop in dairy cattle.

Suggested Citation

  • Nolan, Derek T. & Saghaian, Sayed, 2015. "A Comparison of Market Exit Prices between Kentucky Dairy Producers and Average United States Dairy Producers," 2015 Annual Meeting, January 31-February 3, 2015, Atlanta, Georgia 196757, Southern Agricultural Economics Association.
    • Handle: RePEc:ags:saea15:196757
    DOI: 10.22004/ag.econ.196757
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    Keywords

    Farm Management;

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