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Factors Affecting Participation in the Milk Diversion Program in the U.S. and New York

Published online by Cambridge University Press:  10 May 2017

David R. Lee
Affiliation:
Department of Agricultural Economics, Cornell University
Richard N. Boisvert
Affiliation:
Department of Agricultural Economics, Cornell University
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Abstract

Participation in the 1984–85 Milk Diversion Program (MDP) is examined through the analysis of aggregate state level data for the U.S. and county level data from New York. Linear probability, logit and probit models of participation are estimated. The empirical results are highly similar across models and identify the important determinants of farmer participation in the MDP. Models explaining contracted diversion levels are also estimated but do not have the explanatory power of the participation models. The implications of the results for the analysis of U.S. dairy policy alternatives are discussed.

Type
Articles
Copyright
Copyright © 1985 Northeastern Agricultural and Resource Economics Association 

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Footnotes

The authors wish to thank Elizabeth Bailey for research assistance and Andrew Novakovic for helpful comments on an earlier draft.

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