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Pricing and Policy Problems in the Northeast Fluid Milk Industry

Author

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  • Ronald W. Cotterill

    (University of Connecticut)

Abstract

This article documents the need for reform of milk pricing in the Northeast. The New York price gouging law can be recast as a fair share law. This new milk policy “kills two birds with one stone.” It corrects regional inequities in raw milk pricing by reforming the pricing of milk at retail by limiting and redistributing excessive retail margins to farmers and consumers. The fair share policy relieves allocative price inefficiency, improves the performance of the federal milk market order pool, and the general performance of the Northeast dairy farming and fluid milk industries.

Suggested Citation

  • Ronald W. Cotterill, 2006. "Pricing and Policy Problems in the Northeast Fluid Milk Industry," Food Marketing Policy Center Research Reports 093, University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy.
    • Handle: RePEc:zwi:fpcrep:093
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    File URL: http://fmpc.uconn.edu/publications/rr/rr93.pdf
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    References listed on IDEAS

    as
    1. Tian, Li & Cotterill, Ronald, 2004. "The Theory of Price Collars: The Linking of Prices in a Market Channel to Redress the Exercise of Market Power," Research Reports 149025, University of Connecticut, Food Marketing Policy Center.
    2. Jesse, Edward V. & Jones, Bruce L., 2003. "Cost of Producing Milk: A Comparison by State," Marketing and Policy Briefing Papers 12713, University of Wisconsin-Madison, Department of Agricultural and Applied Economics.
    3. Pratt, James E. & Novakovic, Andrew M. & Bishop, Phillip M. & Stephenson, Mark W. & Erba, Eric M. & Alexander, Craig S., 1998. "Estimation of Regional Differences in Class I Milk Values Across U.S. Milk Markets," EB Series 186418, Cornell University, Department of Applied Economics and Management.
    4. Cotterill, Ronald, 2004. "Milk Pricing Problems and Solutions: An Essay on the Need for New State Level Milk Price Regulation in the Northeast, with Special Attention to Connecticut Substitute Bill No. 5642," Issue Papers 169527, University of Connecticut, Food Marketing Policy Center.
    5. Ronald W. Cotterill, 2004. "Milk Pricing Problems and Solutions: An Essay on the Need for New State Level Milk Price Regulation in the Northeast, with Special Attention to Connecticut Substitute Bill No. 5642," Issue Papers 45, University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy.
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    Cited by:

    1. Cotterill, Ronald, 2006. "Annotated and Expanded Minutes of the Milk Marketing Policy Meeting University of Connecticut July 18, 2006," Issue Papers 170030, University of Connecticut, Food Marketing Policy Center.
    2. Ronald W. Cotterill, 2006. "Annotated and Expanded Minutes of the Milk Marketing Policy Meeting," Issue Papers 51, University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy.
    3. Rabinowitz, Adam. N. & Liu, Yizao, 2014. "The Impact of Regulatory Change on Retail Pricing: The New York State Milk Price Gouging Law," Agricultural and Resource Economics Review, Cambridge University Press, vol. 43(1), pages 178-192, April.

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