Marketing Order Impacts on Farm-Retail Price Spreads: The Suspension of Prorates on California-Arizona Navel Oranges

Gary Thompson () and Charles C. Lyon

American Journal of Agricultural Economics, 1989, vol. 71, issue 3, 647-660

Abstract: The 1985 suspension of the prorate on California-Arizona navel oranges decreased FOB retail price spreads in Atlanta and San Francisco by about 1.3 cents per pound. Four reduced-form models of price spreads were estimated as seemingly unrelated regressions for price spreads in Atlanta, Dallas, and San Francisco. Nested and non-nested hypothesis testing procedures indicated a markup model as the most plausible one for explaining short-run changes in price spreads.

Date: 1989
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Persistent link: https://EconPapers.repec.org/RePEc:oup:ajagec:v:71:y:1989:i:3:p:647-660.

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