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The Changing Structure of the U.S. Flour Milling Industry

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  • Kim, C.S.
  • Lin, William W.
  • Leath, Mack N.

Abstract

What causes the structural changes in terms of number and size of flour mills in the US flour milling industry, and will the US wheat flower supply be adequate in the year 2000? Simulation results indicate that rising disposable income and declining wheat prices are the primary reasons for changes in the size and distribution of larger flour mills, while automation in production and higher disposable income are important factors for smaller mills. This study also projects that domestic wheat flour supply will be sufficient to meet increasing domestic demand by the year 2000, even though the number of US wheat flour mills is projected to decline to 160 from the current 203.

Suggested Citation

  • Kim, C.S. & Lin, William W. & Leath, Mack N., 1991. "The Changing Structure of the U.S. Flour Milling Industry," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 43(3), pages 1-8.
    • Handle: RePEc:ags:uersja:138237
    DOI: 10.22004/ag.econ.138237
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    References listed on IDEAS

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    1. C. S. Kim, 1989. "Gains From Trade Liberalization in the World Wheat Market," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 37(4), pages 1009-1022, December.
    2. Farris, Paul L. & Padberg, Daniel I., 1964. "Measures of Market Structure Change in The Florida Fresh Citrus Packing Industry," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 16(4), pages 1-12, October.
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    4. Parks, Richard W., 1980. "On the estimation of multinomial logit models from relative frequency data," Journal of Econometrics, Elsevier, vol. 13(3), pages 293-303, August.
    5. Kim, C.S. & Schaible, Glenn D., 1988. "Estimation of Transition Probabilities Using Median Absolute Deviations," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 40(4), pages 1-8.
    6. 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(2), pages 1-8, December.
    7. McClelland, John W. & Wetzstein, Michael E. & Musser, Wesley N., 1988. "Returns To Scale And Size In Agricultural Economics: Reply," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 13(1), pages 1-2, July.
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    1. Kim, C.S. & Hallahan, Charles B. & Schaible, Glenn D. & Leath, Mack N., 2000. "A Decomposed Regression Model For Measuring Structural Changes In The Flour Milling Industry," 2000 Annual meeting, July 30-August 2, Tampa, FL 21834, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

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    Keywords

    Crop Production/Industries;

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