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Deregulation and Subequilibrium in the Australian Dairy Processing Industry

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  • Doucouliagos, Hristos
  • Hone, Phillip

Abstract

The Australian dairy processing industry is currently undergoing a program of substantial regulatory reform. In this paper we assess the impact of this deregulation on the production and cost systems of the industry. This is undertaken using a translog restricted cost function, for the period 1969 to 1996, with labour, milk and energy as the variable inputs and capital as the one fixed input. We find that this industry has undergone significant changes in terms of factor demand and cost structures associated with the introduction of new technology. Copyright 2000 by The Economic Society of Australia.

Suggested Citation

  • Doucouliagos, Hristos & Hone, Phillip, 2000. "Deregulation and Subequilibrium in the Australian Dairy Processing Industry," The Economic Record, The Economic Society of Australia, vol. 76(233), pages 152-162, June.
  • Handle: RePEc:bla:ecorec:v:76:y:2000:i:233:p:152-62
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    Cited by:

    1. Fraser, Iain & Graham, Mary, 2005. "Efficiency Measurement of Australian Dairy Farms: National and Regional Performance," Australasian Agribusiness Review, University of Melbourne, Melbourne School of Land and Environment, vol. 13.
    2. Jahan, Nilufar & Smith, Perry & Rodriguez, Gil, 2003. "An analysis of the growth of the Australian dairy and meat processing sectors," Australasian Agribusiness Review, University of Melbourne, Melbourne School of Land and Environment, vol. 11.
    3. Kelvin Balcombe & Hristos Doucouliagos & Iain Fraser, 2007. "Input usage, output mix and industry deregulation: an analysis of the Australian dairy manufacturing industry ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 51(2), pages 137-156, June.
    4. Graham, Mary, 2004. "Environmental efficiency: Meaning and measurement and application to Australian dairy farms," 2004 Conference (48th), February 11-13, 2004, Melbourne, Australia 58450, Australian Agricultural and Resource Economics Society.
    5. Graham, Mary, 2008. "Biophysical Modelling and Performance Measurement," 2008 Conference (52nd), February 5-8, 2008, Canberra, Australia 6773, Australian Agricultural and Resource Economics Society.

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