AgEcon Search

AgEcon Search >
       Journal of Agribusiness >
          Volume 28, Number 1, Spring 2010 >

Please use this identifier to cite or link to this item: http://purl.umn.edu/131185

Title: A Hedonic Price Analysis of Differentiated Products of Unknown Quality: Freshman Sire Stud Fees in the Thoroughbred Breeding Industry
Authors: Stowe, C. Jill
Ajello, Billy
Keywords: differentiated products
freshman sire
hedonic price analysis
Thoroughbred industry
unknown quality
Issue Date: 2010
Abstract: Prices transmit information regarding the underlying quality of a product; when quality is unknown to both buyers and sellers, theory predicts that the same price should be charged for all products. However, in the Thoroughbred industry, difference fees are charged to breed to freshman sires, which are stallions of unknown quality standing their first season at stud. We find that stallion owners/ managers differentiate their products according to attributes which may predict offspring quality. A freshman sire’s own racetrack performance, standing in the state of Kentucky, and descending from a prominent sire line are found to be statistically and economically significant.
URI: http://purl.umn.edu/131185
Institution/Association: Journal of Agribusiness, Volume 28, Number 1, Spring 2010
Total Pages: 12
From Page: 19
To Page: 30
Collections:Volume 28, Number 1, Spring 2010

Files in This Item:

File Description SizeFormat
JAB,Spr2010,#02.pdf412KbPDFView/Open
Recommend this item

All items in AgEcon Search are protected by copyright.

 

 

Brought to you by the University of Minnesota Department of Applied Economics and the University of Minnesota Libraries with cooperation from the Agricultural and Applied Economics Association.

All papers are in Acrobat (.pdf) format. Get Adobe Reader

Contact Us

Powered by: