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Table 1 Parameters and shocks

From: Assessing post-harvest labor shortages, wages, and welfare

Parameter

Description

Value

η pome

Price elasticity of the industry demand for pome

− 0.59a

η prunus

Price elasticity of the industry demand for prunus

− 1.11a

κ pome,prunus

Cross price elasticity of the industry demand for pome to prunus

0.12a

κ prunus,pome

Cross price elasticity of the industry demand for prunus to pome

0.02a

e pre-harvest

Supply elasticity for pre-harvest labor input

3.37b

e post-harvest

Supply elasticity for post-harvest labor input

0.73c

σ

Elasticity of substitution between pre-harvest labor and post-harvest labor input

1.10d

γ

Nonprice shift in demand for pome and prunus (demand shock)

5.4%e

α pre-harvest

Nonwage shift in supply for pre-harvest labor (labor shock)

− 7.0%e

ξ pome

Spoilage rate for pome under normal conditions

4.0%f

ξ prunus

Spoilage rate for prunus under normal conditions

6.0%f

  1. Sources: aHenneberry et al. (1999), bPerloff (1991), cDuffield (1990), dCard and Lemieux (2001), eBrady et al. (2016), and fUSDA NASS (various years)