Impact of Recombinant Bovine Somatotropin on Dairy Farm Cost of Production: Evidence from Multiyear Data

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Impact of Recombinant Bovine Somatotropin on Dairy Farm Cost of Production: Evidence from Multiyear Data

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Title: Impact of Recombinant Bovine Somatotropin on Dairy Farm Cost of Production: Evidence from Multiyear Data
Author: Tauer, Loren W., 1951-
Keywords: profitability of biotechnology
Date: 2006
Publisher: AgBioForum
Citation: AgBioForum, 9(2): 79-83.
Abstract: New York dairy farm data over the years 1994-2002 were used to estimate the impact of recombinant bovine somatotropin (rbST) use on the cost of producing a hundredweight of milk. Both fixed and random effects models were estimated. Self-selection bias in the use of rbST was not found to exist. Results imply that the use of rbST on these dairy farms reduces the net cost of producing a hundredweight of milk somewhere between $0.23 and $0.52. For 20,000 pound average per-cow production, this would be a net cost reduction of $46-104 per cow.
URI: http://hdl.handle.net/10355/84
ISSN: 1522-936X

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