Campus Units
Economics
Document Type
Article
Publication Version
Accepted Manuscript
Publication Date
2002
Journal or Book Title
Choices
Volume
17
First Page or Article ID Number
6
Last Page
10
Abstract
Commodity agriculture as currently practiced in the U.S. Midwest is an extremely efficient way of organizing production and distribution. It allows for inexpensive production and bulk transfer of huge quantities of meat and grain and has resulted in enormous cost savings to U.S. and international consumers. This system has evolved in accordance with market forces, and we expect that these same forces will allow the current system to survive for decades.
There are aspects of the commodity system, however, that are not desirable. For example, the commingling that occurs to take advantage of bulk handling means that signals cannot be sent from consumers to producers. Consumers might desire food products that are different from the commodity standard and they might be willing to pay a premium, but the farmer does not get this signal.
Copyright Owner
Choices
Copyright Date
2002
Language
en
File Format
application/pdf
Recommended Citation
Hayes, Dermot J. and Lence, Sergio H., "A New Brand of Agriculture: Farmer-Owned Brands Reward Innovation" (2002). Economics Publications. 72.
https://lib.dr.iastate.edu/econ_las_pubs/72
Included in
Agricultural and Resource Economics Commons, Growth and Development Commons, Regional Economics Commons
Comments
This is a manuscript of an article from Choices 17 (2002): 6. Posted with permission.