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  6. Impact of Generic Milk Advertising on New York State Markets

Impact of Generic Milk Advertising on New York State Markets

File(s)
Cornell_Dyson_rb0202.pdf (1.21 MB)
Permanent Link(s)
https://hdl.handle.net/1813/65025
Collections
Dyson School Research Bulletins
Author
Kaiser, Harry M.
Chung, Chanjin
Abstract

This report examines the responsiveness of fluid milk sales to milk advertising in the New York City, Albany, Syracuse, Rochester, and Buffalo markets. Fluid milk demand equations for New York City, Albany, Syracuse, Rochester, and Buffalo were estimated with monthly data from 1986-2000, which included generic milk advertising expenditures Generic milk advertising had a positive impact on milk sales in all markets, and was statistically significant in three out of the five markets. The model was then simulated to determine the impact of the New York state portion of advertising expenditures on producer milk prices and returns. A benefit-cost ratio was also computed for each market, and the weighted average for New York state was equal to 2.12 indicating that every dollar invested into New York state generic milk advertising returned $2.12 back in extra Class I revenue to farmers.

Description
NICPRE 02-01; R.B. 2002-02
Date Issued
2002-02
Publisher
Charles H. Dyson School of Applied Economics and Management, Cornell University
Keywords
Applied Economics
Type
report

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