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Factors Influencing Farmers’ Selection of a Milk Handler

  • Richard L. Kilmer (a1), Jonq-Ying Lee (a2) and Dale Carley (a3)

Abstract

A structural probit model is estimated to determine the change in the probability of selecting a milk handler. Cooperatives are thought to have lower prices and higher deductions than independent milk handlers and these factors reduce the probability that a farmer will select a cooperative by 0.39 and 0.32. Cooperatives are thought to have better services and an assured market and payment than independent milk handlers and these factors increase the probability that a farmer will select a cooperative by 0.20 and 0.26. This indicates that many cooperative members value monetary characteristics over non-monetary characteristics.

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Berry, C.R., Dabney, W. T., and Voth, E.E.. Managers' perceptions of member participation in and control of selected large-scale dairy cooperatives. Agr. Exp. Sta. Bul. No. 868, University of Arkansas, 1984.
Boynton, Robert D. and Babb, Emerson. Grade A Daily Farmers ‘ Perception of Milk Buyer Performance: The Findings of a National Survey. Agr. Exp. Sta. Bull. No. 367, Purdue University, 1982.
Carley, D.H.Factors affecting the milk checks of southern da iiy farmers. Col. of Agr. & Envir. Sci., S. Coop. Series Bull. No. 362, University of Georgia, 1991.
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Factors Influencing Farmers’ Selection of a Milk Handler

  • Richard L. Kilmer (a1), Jonq-Ying Lee (a2) and Dale Carley (a3)

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