IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this paper or follow this series

The Impact of the Northeastern Dairy Compact on New England Consumers: A Report from the Milk Policy Wars

  • Ronald W. Cotterill

This paper presents a comparative analysis of three different economic studies that played major roles in the policy debate over the Compact. It draws an important distinction between before-after and counterfactual impact analysis and highlights constraining assumptions in models. Over time the Compact increased raw milk price 2-3 cents per gallon, but if the Compact had not been in place during the first 3 years of its operation raw milk prices would have been approximately 10 cents lower. Over time retail prices went up by much more than 2-3 cents because other costs increased and channel firms increased tacit collusion and net profits. Studies give different counterfactual estimates for retail prices without the Compact. They range from a drop of 5.7 cents per gallon to 20.7 cents per gallon and are very sensitive to modeling approach. Comparative analysis, as done in this article, should contribute to policy formulation rather than appearing ex post.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://fmpc.uconn.edu/publications/rr/rr77.pdf
Download Restriction: no

Paper provided by University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy in its series Food Marketing Policy Center Research Reports with number 077.

as
in new window

Length:
Date of creation: 2003
Date of revision:
Handle: RePEc:zwi:fpcrep:077
Contact details of provider: Postal: 1376 Storrs Road, U-21, Storrs, Connecticut 06269-4021
Phone: 860-486-2836
Fax: 860-486-1932
Web page: http://www.zwickcenter.uconn.edu
Email:


More information through EDIRC

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

as in new window
  1. Joseph V. Balagtas & Daniel A. Sumner, 2003. "The Effect of the Northeast Dairy Compact on Producers and Consumers, with Implications of Compact Contagion," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 25(1), pages 123-144.
  2. repec:agl:nearer:v:30:y:2001:i:1:p:83-92 is not listed on IDEAS
  3. Lass, Daniel A. & Adanu, Mawunyo & Allen, P. Geoffrey, 2001. "Impacts Of The Northeast Dairy Compact On New England Retail Prices," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 30(1), April.
  4. Ronald W. Cotterill, 2002. "A Northeast Dairy Compact Post Mortem," Issue Papers 28, University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy.
Full references (including those not matched with items on IDEAS)

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:zwi:fpcrep:077. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.