Optimization of individual stages within a production-marketing chain (PMCh) may cause a suboptimal result of the PMCh as a whole. Market imperfections and conflicting interest may be the causal factors. Although vertical integration is often mentioned as the conventional solution, certain...

ABSTRACT Zero restrictions implied by Gardner's (<link href="#agr21362-bib-0011"/>) model are exploited to develop a simple test for perfect price transmission. Applying the test to the domestic marketing channels for U.S. beef and pork, we reject the hypothesis of competitive market clearing for pork, but not for beef. A...

Using a simple market model and Frisch's duality relation, this report develops propositions about the relationship between advertising and the market demand elasticity that may prove useful in empirical research. In particular, we find that a parallel shift in a linear demand function always...

Notwithstanding substantial federal financial support for the export promotion of agricultural products, ways to enhance the effectiveness of federal funding have not been discussed in empirical research. In this study, an equilibrium displacement framework was developed to evaluate whether the...

Economic research measures the existence of advertising effects, but provides little insight into the mechanisms responsible for the observed responses. Drawing chiefly from constructs gleaned from the psychology and marketing literatures, an “inference-based” conceptual model is posited...

A key decision faced by managers of generic advertising programs is the allocation of the budget among media (e.g., television, radio, print). In this article, the economics of media allocation are addressed using catfish as a case study. The hypothesis that demand responds equally to all media...

The free-rider effects of commodity promotion are a neglected issue in the empirical literature. This study addresses the lacuna by considering the salmon promotion program conducted by the Norwegian Seafood Export Council. Specifically, a model of the world salmon market is used to indicate...

For nonprice promotion to benefit producers, it must raise the farm price. This principle seems not to be widely appreciated. In particular, a formula commonly used to measure returns to export promotion does not reflect price enhancement and therefore is problematic. An additional problem is...

This article evaluates the relative merits of advertising expenditures and gross rating points (GRPs) as alternative measures of advertising exposure. Theoretically, GRPs and appropriately deflated advertising expenditures should provide identical representations of exposure. This hypothesis was...