June, 1941] 



Local Structure of Milk Prices 



17 



high prices would occur, such shifting tending to eHminate the wide 

 differences in prices in the market. 



Before investigating the effect of location and the existence of other 

 factors compensating for price differences, it is unsafe to draw any con- 

 clusions, but at this point it can be said that the Nashua market is an old, 

 settled market, in ^^'hich no radical changes or shifts in producer-dealer 

 relationships have occurred in recent years. 



In figure 4 the influence of distance from markets has not been taken 

 into consideration and therefore variations in prices may be partly ac- 

 counted for by difference in location of the farm, as well as differences 

 in the distributor to whom milk was sold and the price paid by that dis- 

 tributor. Figure 5, therefore, has been prepared to show the eft'ect of dis- 



DQ LLARS PER CWT 



□ HAULING CHARGE 

  PRODUCER PRICE 



0-I.S 2-3.*» V-5.9 6-7A 8-W /©•/« «-«.«? li-IS.9 16-n^ /«-l».9 



MILES FROM MARKET 



Fig. S. Producer prices at various distances from Nashua, New 

 Hampshire, March, 1939 ^ 



1 For data on which this figure is based see Appendix Table II. 



1 In a later section of this study a chart will be presented to show the variation in prices received 

 by individual producers within a particular distance from market. Again, it is evident that not the 

 average but the dispersion is important in considering prices received for milk by producers. 



