Estimating organic premiums in the US fluid milk market

dc.contributor.author	Smith, TA	en
dc.contributor.author	Huang, CL	en
dc.contributor.author	Lin, B-H	en
dc.date.accessioned	2014-06-06T06:48:56Z
dc.date.available	2014-06-06T06:48:56Z
dc.date.issued	2009	en
dc.identifier.issn	17421705	en
dc.identifier.uri	http://dx.doi.org/10.1017/S1742170509002579	en
dc.identifier.uri	http://62.217.125.90/xmlui/handle/123456789/4349
dc.subject	Branding	en
dc.subject	Hedonic price	en
dc.subject	Market factors	en
dc.subject	Nielsen Homescan	en
dc.subject	Organic milk	en
dc.subject	Organic premium	en
dc.subject	Product attributes	en
dc.subject.other	agricultural price	en
dc.subject.other	dairy farming	en
dc.subject.other	estimation method	en
dc.subject.other	marking method	en
dc.subject.other	milk production	en
dc.subject.other	numerical model	en
dc.subject.other	organic farming	en
dc.subject.other	panel data	en
dc.subject.other	North America	en
dc.subject.other	United States	en
dc.title	Estimating organic premiums in the US fluid milk market	en
heal.type	journalArticle	en
heal.identifier.primary	10.1017/S1742170509002579	en
heal.publicationDate	2009	en
heal.abstract	Using actual retail purchases from the 2006 Nielsen Homescan panel data, we estimate a hedonic model on price premiums and discounts associated with household characteristics, market factors, and product attributes focusing on the organic attribute for fluid milk. The organic attribute carries a significant price premium, which is largest of all product attributes considered in this study. Further, additional price variations among organic milk are observed for differences in fat content, container size and branding. Specifically, the results suggest that organic price premiums for half-gallon milk range from $1.23 for whole private label organic milk (6068% above conventional counterpart) to $1.86 for nonfat/skim-branded organic milk (89109% above conventional counterpart). The study also found that milk sold in a discount store (i.e., supercenter or club warehouse) was price 13 cents per half gallon, or 7.4%, below milk sold through other venues, and that milk on sale was priced 26 cents per half gallon, or 14.3%, less than the regular average price. Although household characteristics exert little influence on price relative to product attributes and market factors, the study does find that unmarried households and those with children under six pay slightly higher prices for milk, possibly due to time constraints. © 2009 Cambridge University Press.	en
heal.journalName	Renewable Agriculture and Food Systems	en
dc.identifier.issue	3	en
dc.identifier.volume	24	en
dc.identifier.doi	10.1017/S1742170509002579	en
dc.identifier.spage	197	en
dc.identifier.epage	204	en