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Development and Measurement of Farm-to-Retail Price Linkage for Evaluating Dairy Advertising Effectiveness

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  • Wohlgenant, Michael K.
  • Clary, Cynda R.

Abstract

A conceptual and empirical framework for estimating the effects of dairy advertising on farm prices and producer returns is developed The model consists of an industry-derived demand equation for milk linking advertising and government purchase. to farm price, and a government purchases equation linking advertising and support prices to government purchases The econometric model is a mixed continuous/ discrete system, estimated by the Amenyia Principle The two-equation system is estimated for both aggregated manufactured advertising and dlsaggregated manufactured advertising The results are consistent with theory and show Significant effects of advertising, particularly for fluid advertising

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Bibliographic Info

Article provided by United States Department of Agriculture, Economic Research Service in its journal Journal of Agricultural Economics Research.

Volume (Year): (4)
Issue (Month): 4 ()
Pages:

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Handle: RePEc:ags:uersja:140089

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Related research

Keywords: Dairy advertising; demand; govemment purchases; price linkage; Tobit; Demand and Price Analysis; Farm Management; Marketing;

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