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Dairy Farm Size, Entry, And Exit In A Declining Production Region

  • Rahelizatovo, Noro C.
  • Gillespie, Jeffrey M.

As with most agricultural industries, the U.S. dairy industry has evolved into a structure including fewer yet larger firms. In Louisiana, total milk production has declined along with dairy farm numbers since 1972. This study addresses the impact of alternative policies, macroeconomic factors, and technology on the structure of the Louisiana dairy industry using a micro-data non-stationary Markov chain analysis. Results indicate that a number of factors have affected the structure of the industry in Louisiana, including but not limited to prices, milk supply reduction programs, technology and interest rates.

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File URL: http://purl.umn.edu/15372
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Article provided by Southern Agricultural Economics Association in its journal Journal of Agricultural and Applied Economics.

Volume (Year): 31 (1999)
Issue (Month): 02 (August)
Pages:

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Handle: RePEc:ags:joaaec:15372
Contact details of provider: Web page: http://www.saea.org/jaae/jaae.htm

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  1. Reimund, Donn A. & Martin, J. Rod & Moore, Charles V., 1981. "Structural Change in Agriculture: The Experience for Broilers, Fed Cattle, and Processing Vegetables," Technical Bulletins 157701, United States Department of Agriculture, Economic Research Service.
  2. Mike Massow & Alfons Weersink & Calum G. Turvey, 1992. "Dynamics of Structural Change in the Ontario Hog Industry," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 40(1), pages 93-107, 03.
  3. Disney, W. Terry & Duffy, Patricia A. & Hardy, William E., Jr., 1988. "A Markov Chain Analysis Of Pork Farm Size Distributions In The South," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 20(02), December.
  4. Boucher, Robert W. & Gillespie, Jeffrey M., 1997. "Projected Costs And Returns For Beef Cattle, Dairy Production, Swine Production And Forage Crops In Louisiana, 1997," AEA Information Series 31663, Louisiana State University, Department of Agricultural Economics and Agribusiness.
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