Author

Irvin Yeager

Date of Award

5-2013

Degree Type

Report

Degree Name

Master of Science (MS)

Department

Applied Economics

First Advisor

Man-Keun Kim

Abstract

This study examines fresh produce marketing for small producers in the U.S. Rocky Mountain region by comparing risk and return attributes for farmers’ markets and wholesale outlets. Prices were collected from farmers’ markets in Utah and Colorado and San Francisco terminal market prices from USDA NASS were used to represent wholesale prices received by producers. Production and harvesting costs, as well as marketing costs for both outlets are also included in the analysis.

Simulation was used to compare the results of eleven marketing options based on the level of marketing activities in wholesale and farmers’ markets. The simulation results were then analyzed using stochastic efficiency with respect to a function (SERF). The results find that risk averse producers will prefer to market to both outlets (portfolio), while risk neutral producers will prefer to market exclusively to farmers’ markets.

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