Retail Dairy Prices Fluctuate with the Farm Value of Milk

Hayden Stewart and Don Blayney

Agricultural and Resource Economics Review, 2011, vol. 40, issue 2, 201-217

Abstract: Farm milk prices tend to be volatile. Dairy farmers, industry pundits, and policymakers further tend to react to price volatility with alarm. One point of concern is the response of retail prices. This study investigates farm-to-retail price transmission in the 2000s for whole milk and Cheddar cheese. Results show that price shocks at the farm gate are transmitted with delay and asymmetry to retail. Differences in the nature of price transmission for whole milk and Cheddar cheese prices are also identified.

Date: 2011
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Journal Article: Retail Dairy Prices Fluctuate with the Farm Value of Milk (2011)
Working Paper: Retail Dairy Prices Fluctuate with the Farm Value of Milk (2010)
Journal Article: Retail Dairy Prices Fluctuate With Farm Value of Milk (2009)
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Persistent link: https://EconPapers.repec.org/RePEc:cup:agrerw:v:40:y:2011:i:02:p:201-217_00

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