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L'économie expérimentale pour l'analyse de modifications au système centralisé de vente du quota laitier au Québec

  • Maurice Doyon
  • Lota Dabio Tamini
  • Virginie Simard
  • Kent Messer
  • Harry M. Kaiser

This study experimentally tests whether a modification to the centralized quota sales system is capable of lowering the price of the milk quota in Québec, while at the same time minimizing the negative impacts on the auction's efficiency. This modification consists of applying two treatments on the uniformed price auction used to trade dairy production quota.. The first treatment excludes 5% or 15% of the sellers and the vendors' highest bids. The second treatment applies a tax of 2% or 10% to the units that the vendors put on the market but don't manage to sell. Different combinations of these two treatments are also tested. The generated data shows that the highest bids exclusion mechanism allows to lower the price of the quota, the 15% exclusion being more conclusive than the 5% one. Alternatively, the tax by itself has little impact on the price of the quota, while the combination of the two treatments causes a more important diminution of the number of transactions and of the price of the quota than when the tax treatment and the exclusion treatment are applied individually. This has as a consequence to lead to a greater loss of economic efficiency. La présente étude teste de manière expérimentale la capacité d'une modification au système centralisé de vente du quota (SCVQ) à faire diminuer le prix du quota laitier au Québec tout en minimisant les impacts négatifs des changements sur l'efficacité de l'enchère. Cette modification consiste à appliquer deux traitements sur l'enchère de prix uniforme où s'échange le quota. Le premier traitement consiste en une exclusion (de 5 % ou de 15 %) des mises les plus élevées des acheteurs et des vendeurs. Le second traitement est une taxe (de 2 % ou de 10 %) appliquée aux unités que les vendeurs mettent en marché et ne réussissent pas à vendre. Différentes combinaisons de ces deux traitements sont également testées. Les données générées permettent de conclure que le mécanisme d'exclusion des mises les plus élevées permet de faire diminuer le prix du quota, l'exclusion de 15 % étant plus efficace que celle de 5 %. Pour sa part, la taxe seule a peu d'impact sur le prix du quota tandis que la combinaison des deux traitements entraîne une diminution du nombre de transactions et du prix du quota plus marquée que lorsque les traitements de taxe et d'exclusion sont appliqués individuellement. Cela a comme corollaire d'entraîner une perte d'efficacité économique plus importante.

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Paper provided by CIRANO in its series CIRANO Working Papers with number 2006s-23.

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Length: 46 pages
Date of creation: 01 Nov 2006
Date of revision:
Handle: RePEc:cir:cirwor:2006s-23
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  1. LiCalzi, Marco & Pavan, Alessandro, 2005. "Tilting the supply schedule to enhance competition in uniform-price auctions," European Economic Review, Elsevier, vol. 49(1), pages 227-250, January.
  2. Milgrom,Paul, 2004. "Putting Auction Theory to Work," Cambridge Books, Cambridge University Press, number 9780521536721.
  3. Bogetoft, Peter & Jensen, Peter Max Friis & Nielsen, Kurt & Olesen, Henrik Ballebye & Olsen, Rene H., 2002. "Single Bid Restriction in Milk Quota Exchanges - Comparing the Danish and the Ontario Exchanges," Unit of Economics Working papers 24181, Royal Veterinary and Agricultural University, Food and Resource Economic Institute.
  4. Richard Engelbrecht-Wiggans & John A. List & David H. Reiley, 2006. "Demand Reduction In Multi-Unit Auctions With Varying Numbers Of Bidders: Theory And Evidence From A Field Experiment ," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 47(1), pages 203-231, 02.
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  8. Kagel, John H & Levin, Dan, 2001. "Behavior in Multi-unit Demand Auctions: Experiments with Uniform Price and Dynamic Vickrey Auctions," Econometrica, Econometric Society, vol. 69(2), pages 413-54, March.
  9. Forsythe, Robert & Lundholm, Russell, 1990. "Information Aggregation in an Experimental Market," Econometrica, Econometric Society, vol. 58(2), pages 309-47, March.
  10. Peter Cramton, 2004. "Competitive Bidding Behavior in Uniform-Price Auction Markets," Papers of Peter Cramton 04hicss, University of Maryland, Department of Economics - Peter Cramton, revised 2004.
  11. Lusk, Jayson L. & Daniel, M. Scott & Mark, Darrell R. & Lusk, Christine L., 2000. "Alternative Calibration And Auction Institutions For Predicting Consumer Willingness-To-Pay For Non-Genetically Modified Corn Chips," 2000 Annual Meeting, June 29-July 1, 2000, Vancouver, British Columbia 36424, Western Agricultural Economics Association.
  12. Antonio Alvarez & Carlos Arias & Luis Orea, 2006. "Explaining Differences in Milk Quota Values: The Role of Economic Efficiency," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(1), pages 182-193.
  13. Lawrence M. Ausubel & Peter Cramton, 1995. "Demand Reduction and Inefficiency in Multi-Unit Auctions," Papers of Peter Cramton 98wpdr, University of Maryland, Department of Economics - Peter Cramton, revised 22 Jul 2002.
  14. Menkhaus, Dale J. & Bastian, Christopher T. & Phillips, Owen R. & O'Neill, Patrick D., 1999. "Endogenous Choice Of Institution Under Supply And Demand Risks In Laboratory Forward And Spot Markets," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 24(02), December.
  15. David Lucking-Reiley & John A. List, 2000. "Demand Reduction in Multiunit Auctions: Evidence from a Sportscard Field Experiment," American Economic Review, American Economic Association, vol. 90(4), pages 961-972, September.
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