@article{Kim:201558,
      recid = {201558},
      author = {Kim, Kwansoo and Chavas, Jean-Paul},
      title = {The Effects of Stocks and Price Floors on Price Dynamics  and Volatility: An Application to the U.S. Nonfat Dry Milk  Market},
      address = {2002},
      number = {1803-2016-142457},
      series = {FSWP},
      pages = {33},
      year = {2002},
      abstract = {This paper presents an econometric analysis of the effects  of price support programs
and stocks on price dynamics and  price volatility. Considering a price support program as  a
censoring mechanism, market prices are specified as a  dynamic Tobit model with time
varying volatility. The model  is applied to the U.S. nonfat dry milk market to examine  the
impact of market liberalization on price dynamics and  price volatility in the presence of
private and public  stocks. The econometric results show how the price support  program and
stocks (both private and public) affect  expected price and price volatility. They document the
role  of stocks in reducing price volatility.},
      url = {http://ageconsearch.umn.edu/record/201558},
      doi = {https://doi.org/10.22004/ag.econ.201558},
}