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Using Wine Quality Differential in Grapes Pricing

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  • Golan, Amos
  • Shalit, Haim

Abstract

A model of pricing grapes is developed based on the hedonic hypothesis that wine produced from those grapes is valued by consumers for its quality characteristics. The model attempts to establish a set of producers pricing rules for quality characteristics in a cooperative framework. The model is then used to estimate the grape components affecting wine quality. Those characteristics are valued and a producer pricing for grapes is established.

Suggested Citation

  • Golan, Amos & Shalit, Haim, 1985. "Using Wine Quality Differential in Grapes Pricing," Working Papers 232640, Hebrew University of Jerusalem, Center for Agricultural Economic Research.
  • Handle: RePEc:ags:huaewp:232640
    DOI: 10.22004/ag.econ.232640
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    File URL: http://ageconsearch.umn.edu/record/232640/files/hebrewuniv-workingpapers-8508.pdf
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    References listed on IDEAS

    as
    1. W. M. Gorman, 1980. "A Possible Procedure for Analysing Quality Differentials in the Egg Market," Review of Economic Studies, Oxford University Press, vol. 47(5), pages 843-856.
    2. A. Michael Spence, 1975. "Monopoly, Quality, and Regulation," Bell Journal of Economics, The RAND Corporation, vol. 6(2), pages 417-429, Autumn.
    3. Peter Helmberger & Sidney Hoos, 1962. "Cooperative Enterprise and Organization Theory," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 44(2), pages 275-290.
    4. Michael K. Wohlgenant, 1982. "Inventory Adjustment and Dynamic Winery Behavior," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 64(2), pages 222-231.
    5. Rosen, Sherwin, 1974. "Hedonic Prices and Implicit Markets: Product Differentiation in Pure Competition," Journal of Political Economy, University of Chicago Press, vol. 82(1), pages 34-55, Jan.-Feb..
    6. R. Carson, 1977. "A Theory of Co-operatives," Canadian Journal of Economics, Canadian Economics Association, vol. 10(4), pages 565-589, November.
    7. Phlips,Louis, 1983. "The Economics of Price Discrimination," Cambridge Books, Cambridge University Press, number 9780521283946, December.
    8. Sakai, Yasuhiro, 1974. "Substitution and expansion effects in production theory: The case of joint production," Journal of Economic Theory, Elsevier, vol. 9(3), pages 255-274, November.
    9. Pinhas Zusman, 1982. "Group Choice in an Agricultural Marketing Co-operative," Canadian Journal of Economics, Canadian Economics Association, vol. 15(2), pages 220-234, May.
    10. Pinhas Zusman, 1967. "A Theoretical Basis for Determination of Grading and Sorting Schemes," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 49(1_Part_I), pages 89-106.
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    Keywords

    Crop Production/Industries;

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