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Effects of Advertising on the Demand for Cheese, January 1982-June 1989

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  • Blaylock, James R.
  • Blisard, William N.

Abstract

Increased advertising raised natural cheese sales by about 21 million pounds and processed cheese sales by about 193 million pounds during September 1984- June 1989. These sales were for cheese consumed at home. Declining real prices of natural cheese increased sales by about 566 million pounds. Increasing real incomes raised natural cheese sales by 379 million pounds and increased processed cheese sales by about 10 million pounds. An assessment of 15 cents per hundredweight of milk sold commercially, mandated by the Dairy and Tobacco Adjustment Act of 1983, funded the advertising. The authors used estimated econometric demand models to simulate these results.

Suggested Citation

  • Blaylock, James R. & Blisard, William N., 1990. "Effects of Advertising on the Demand for Cheese, January 1982-June 1989," Staff Reports 278346, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uerssr:278346
    DOI: 10.22004/ag.econ.278346
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    References listed on IDEAS

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    6. Verma, Vinod K, 1980. "A Price Theoretic Approach to the Specification and Estimation of the Sales-Advertising Function," The Journal of Business, University of Chicago Press, vol. 53(3), pages 115-137, July.
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    Cited by:

    1. Todd M. Schmit & Brian W. Gould & Diansheng Dong & Harry M. Kaiser & Chanjin Chung, 2003. "The Impact of Generic Advertising on U.S. Household Cheese Purchases: A Censored Autocorrelated Regression Approach," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 51(1), pages 15-37, March.
    2. Kaiser, Harry M., 1994. "An Analysis Of Policy Alternatives To The Dairy Price Support Program," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 23(2), pages 1-13, October.
    3. Gould, Brian W., 1996. "Consumer Promotion And Purchase Timing: The Case Of Cheese," Staff Papers 12664, University of Wisconsin-Madison, Department of Agricultural and Applied Economics.
    4. Kaiser, Harry M. & Forker, Olan D., 1993. "Analysis Of Generi," Research Bulletins 123010, Cornell University, Department of Applied Economics and Management.

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