HOME HELP FEEDBACK SUBSCRIPTIONS ARCHIVE SEARCH TABLE OF CONTENTS		QUICK SEARCH:   [advanced] Author: Keyword(s): Year:  Vol:  Page:

This Article Full Text (PDF) Alert me when this article is cited Alert me if a correction is posted Services Similar articles in this journal Alert me to new issues of the journal Download to citation manager Citing Articles Citing Articles via Google Scholar Google Scholar Articles by Collins, W. E. Search for Related Content PubMed Articles by Collins, W. E.

Policy for Pricing Milk and Dairy Products

Illinois Agricultural Association, Chicago, Illinois

ABSTRACT

The material presented in this article is based on the assumption that free movement of milk supplies among markets provides the only sound and effective method of pricing milk and dairy products. In the opinion of the author, any effort to develop an administrative pricing scheme must reckon with this consideration and certain allied truisms. The more important of these are as follows:

1. The terms, price, supply, and demand, if considered separately, become meaningless insofar as the development of sensible price policy is concerned. Experiences have shown that it is futile to tamper with one without also tampering with the other two of the three component parts of the equation.
   
2. Strong demand and properly functioning markets are imperative to good farm prices.
   
3. Government purchase and storage of farm commodities do not substitute for markets. Demand reflects added strength so long as warehouses are being filled, but any supplies acquired must eventually be released.
   
4. Farm output cannot be successfully controlled by extending control measures to only one factor of production. Such a limited control system may be substantiated in theory, but farmers aren't theorists.