Ohio school milk markets: An analysis of bidding

Robert H. Porter; J. Douglas Zona

doi:10.2307/2556080

Ohio school milk markets: An analysis of bidding

Robert H. Porter, J. Douglas Zona

Economics

Research output: Contribution to journal › Article › peer-review

150 Scopus citations

Abstract

We examine the institutional details of the school milk procurement process, bidding data, statements of dairy executives, and supply characteristics in Ohio during the 1980s. We compare the bidding behavior of a group firms in Cincinnati to a control group. We find that the behavior of each of the firms differs from that of the control group. We argue that the behavior of these firms is consistent with collusion. The estimated average effect of collusion on market prices is about 6.5%, or roughly the cost of shipping school milk about 50 miles.

Original language	English (US)
Pages (from-to)	263-288
Number of pages	26
Journal	RAND Journal of Economics
Volume	30
Issue number	2
DOIs	https://doi.org/10.2307/2556080
State	Published - 1999

ASJC Scopus subject areas

Economics and Econometrics

Access to Document

10.2307/2556080

Cite this

@article{8165b6790a0c4fbeaeb0845b7d1e4a09,

title = "Ohio school milk markets: An analysis of bidding",

abstract = "We examine the institutional details of the school milk procurement process, bidding data, statements of dairy executives, and supply characteristics in Ohio during the 1980s. We compare the bidding behavior of a group firms in Cincinnati to a control group. We find that the behavior of each of the firms differs from that of the control group. We argue that the behavior of these firms is consistent with collusion. The estimated average effect of collusion on market prices is about 6.5%, or roughly the cost of shipping school milk about 50 miles.",

author = "Porter, {Robert H.} and Zona, {J. Douglas}",

year = "1999",

doi = "10.2307/2556080",

language = "English (US)",

volume = "30",

pages = "263--288",

journal = "RAND Journal of Economics",

issn = "0741-6261",

publisher = "Rand Journal of Economics",

number = "2",

}

TY - JOUR

T1 - Ohio school milk markets

T2 - An analysis of bidding

AU - Porter, Robert H.

AU - Zona, J. Douglas

PY - 1999

Y1 - 1999

N2 - We examine the institutional details of the school milk procurement process, bidding data, statements of dairy executives, and supply characteristics in Ohio during the 1980s. We compare the bidding behavior of a group firms in Cincinnati to a control group. We find that the behavior of each of the firms differs from that of the control group. We argue that the behavior of these firms is consistent with collusion. The estimated average effect of collusion on market prices is about 6.5%, or roughly the cost of shipping school milk about 50 miles.

AB - We examine the institutional details of the school milk procurement process, bidding data, statements of dairy executives, and supply characteristics in Ohio during the 1980s. We compare the bidding behavior of a group firms in Cincinnati to a control group. We find that the behavior of each of the firms differs from that of the control group. We argue that the behavior of these firms is consistent with collusion. The estimated average effect of collusion on market prices is about 6.5%, or roughly the cost of shipping school milk about 50 miles.

UR - http://www.scopus.com/inward/record.url?scp=0033424358&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=0033424358&partnerID=8YFLogxK

U2 - 10.2307/2556080

DO - 10.2307/2556080

M3 - Article

AN - SCOPUS:0033424358

VL - 30

SP - 263

EP - 288

JO - RAND Journal of Economics

JF - RAND Journal of Economics

SN - 0741-6261

IS - 2

ER -

Ohio school milk markets: An analysis of bidding

Abstract

ASJC Scopus subject areas

Access to Document

Other files and links

Fingerprint

Cite this