Policy analysis of the U.S. dairy industry is of interest to dairy economists and analysts, both inside and outside government. A workshop on modeling the U.S. dairy industry was held by the NC-198 regional research committee on October 31, 1991. Five papers were presented, covering theoretical and empirical issues related to modeling the U.S. dairy industry for policy analysis. The theoretical issues covered related to statistical estimation of model parameters. Alternative dairy industry simulation models, spatial equilibrium models, and a study based on the linkage of existing models were discussed.