THE EFFECT OF GENERIC DAIRY ADVERTISING ON THE HOUSEHOLD DEMAND FOR MILK AND CHEESE

Abstract

Consistent two-step censored estimation is applied to household demand equations for disaggregated milk and cheese products. The long-run advertising elasticity for total milk was positive, largely due to low fat milk; however the elasticity for cheese was not significant, and only shredded cheese had a positive, significant response.censored regression, household demand, generic advertising, Consumer/Household Economics, Demand and Price Analysis, Marketing,