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Are Assessments For Generic Advertising Optimal If Products Are Differentiated?

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  • Crespi, John M.
  • Marette, Stephan

Abstract

An analytical framework where consumers display preferences for various qualities of an agricultural commodity is used to investigate the producer welfare effects of generic advertising assessments. Depending upon the degree of product differentiation present in the final goods, some producers are shown to benefit more than others from the use of an equivalent assessment on all producers. This paper delineates those cases where producer assessments should be equal and where assessments should be different to insure an equitable benefit.

Suggested Citation

  • Crespi, John M. & Marette, Stephan, 2001. "Are Assessments For Generic Advertising Optimal If Products Are Differentiated?," 2001 Annual meeting, August 5-8, Chicago, IL 20762, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea01:20762
    DOI: 10.22004/ag.econ.20762
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    References listed on IDEAS

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