The overall objective of the research was to identify and analyze the structure of the household demand 1 for. selected major dairy products and in so doing provide, for policy purposes, numerical estimates of the demand response parameters. The study focus was on isolating the response in household purchasing to changes in retail prices and incomes. The purpose of this paper is to present. research results which isolate the estimated price response parameters and in do doing discuss the implications of these results for dairy industry policy and research in the late 1970's.