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Estimation of Treatment Effects of Recombinant Bovine Somatotropin Using Matching Samples
Author(s) -
Tauer Loren W.
Publication year - 2009
Publication title -
applied economic perspectives and policy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.4
H-Index - 49
eISSN - 2040-5804
pISSN - 2040-5790
DOI - 10.1111/j.1467-9353.2009.01446.x
Subject(s) - bovine somatotropin , recombinant dna , matching (statistics) , estimation , econometrics , statistics , computer science , economics , medicine , chemistry , mathematics , biochemistry , management , gene
The production and profit impacts of recombinant bovine somatotropin (rbST) on select New York dairy farms were estimated using data over the years 1994 through 2004, by comparing matching farms that use and do not use rbST. The use of rbST increases milk production per cow and decreases the cost of production per hundredweight of milk. The cost penalty (cost reduction) is $0.39 per hundredweight for those currently using rbST to stop using rbST, while the average treatment effect is $0.73.