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The Effect of Identity Preserved Premiums on Elevator Grain Flows

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  • Gloy, Angela
  • Dooley, Frank J.

Abstract

The effect of identity preserved premiums on a grain elevator's received volumes is modeled using stochastic simulation across the harvest season. A feedback loop simulates competing elevators' bid prices and tracks producer delivery decisions using arbitrage criteria at competing market elevators. Results provide information about the sensitivity of distance thresholds in producer delivery decisions given IP premiums.

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File URL: http://purl.umn.edu/21955
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Bibliographic Info

Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2003 Annual meeting, July 27-30, Montreal, Canada with number 21955.

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Date of creation: 2003
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Handle: RePEc:ags:aaea03:21955

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Keywords: Crop Production/Industries;

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  1. Ahmed A. Araji & Richard G. Walsh, 1969. "Effect Of Assembly Costs On Optimum Grain Elevator Size And Location," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 17(2), pages 36-45, 07.
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