Aggregate Milk Supply Response and Investment Behavior on U.S. Dairy Farms

Jean‐Paul Chavas · Richard M. Klemme

110 citations0/0 files storedAmerican Journal of Agricultural Economics

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Agricultural economics and policies Livestock Farming and Management Economics of Agriculture and Food Markets

Abstract

Abstract This paper presents a dynamic model of herd composition and supply response in the U.S. dairy sector. By incorporating biological information, the influences of the economic environment on culling rates and the dynamics of the dairy cow population are analyzed. Short‐run and long‐run supply elasticities provide considerable insights on milk supply adjustments over time.

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1978The Structure of Economics: A Mathematical Analysis

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