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Predicting the Quality of an Unborn Grange *
Author(s) -
BYRON R.P.,
ASHENFELTER O.
Publication year - 1995
Publication title -
economic record
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.365
H-Index - 42
eISSN - 1475-4932
pISSN - 0013-0249
DOI - 10.1111/j.1475-4932.1995.tb01870.x
Subject(s) - wine , quality (philosophy) , index (typography) , work (physics) , price index , regression analysis , cork , economics , econometrics , statistics , mathematics , computer science , engineering , biology , philosophy , mechanical engineering , food science , epistemology , world wide web , botany
In a recent paper Ashenfelter, Ashmore and Lalonde found they could explain the variation in the price (and quality) of Bordeaux vintages by a combination of age, temperature and rainfall. The same ideas are applied here to Grange Hermitage, Australia's premier wine. Weather variation is less important than in Bordeaux. However, some remarkably robust results are obtained: a ‘quality index’ for Grange is derived, predictions about still unreleased vintages are made, the Australian regression coefficients work well in the Bordeaux equation, and issues relating to market efficiency in the pricing of young wines are examined