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Are uniform assessments for generic advertising optimal if products are differentiated?

Author

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  • John M. Crespi

    (Department of Agricultural Economics, 342 Waters Hall, Kansas State University, Manhattan, Kansas 66506-4011., E-mail: jcrespi@agecon.ksu.edu)

  • Stéphan Marette

    (UMR d'Economie Publique, INRA-INAPG, Paris-Grignon, France)

Abstract

An analytical framework where consumers display preferences for various qualities of an agricultural commodity is used to investigate the producer welfare effects of generic advertising assessments. Depending upon the degree of differentiation present in the final goods, some producers are shown to benefit more than others from the use of a uniform, per-unit assessment on all producers. This article delineates those cases where producer assessments should be equal and where assessments should be different to insure an equitable benefit. [EconLit citations: Q130, L110]. © 2003 Wiley Periodicals, Inc. Agribusiness 19: 367-377, 2003.

Suggested Citation

  • John M. Crespi & Stéphan Marette, 2003. "Are uniform assessments for generic advertising optimal if products are differentiated?," Agribusiness, John Wiley & Sons, Ltd., vol. 19(3), pages 367-377.
    • Handle: RePEc:wly:agribz:v:19:y:2003:i:3:p:367-377
    DOI: 10.1002/agr.10066
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    References listed on IDEAS

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    Cited by:

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    2. Sophie DROGUE & Stephan MARETTE & Priscila RAMOS, 2010. "Product Differentiation and Trade: An Example From the Bovine Meat Sector," EcoMod2004 330600043, EcoMod.

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