Implications of Bovine Somatotropin on the Value of Fluid Milk Quota in Ontario
构建计量模型，模拟重组牛生长激素对安大略省牛奶生产配额价值的影响，评估不同政策选择下配额价值的可能变化范围。
Abstract The biotechnological production of recombinant bovine somatotropin (rbST) could have a significant impact on North American dairy industries. To evaluate some of the potential effects of this science on Ontario milk producers, an econometric model was developed incorporating distortions caused by the dairy policies of this province. The focus of the simulation was to predict the possible effect that rbST could have on the value of Ontario milk production quotas. The Ontario Milk Marketing Board (OMMB) has the legislated authority to set supply limits. The policies that the board chooses to adopt will determine the eventual influence that this and any cost‐reducing technological advance will have on quota values. This study examines the range of values that may occur given various policy choices by the OMMB.