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Beef Supply Response Under Uncertainty: An Autoregressive Distributed Lag Model

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  • Mbaga, Msafiri Daudi
  • Coyle, Barry T.
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    Abstract

    This is the first econometric study of dynamic beef supply response to incorporate risk aversion or, more specifically, price variance. Autoregressive distributed lag (ADL) models are estimated for cow-calf and feedlot operations using aggregate data for Alberta. In all cases, output price variance has a negative impact on output supply and investment. Moreover, the impacts of expected price on supply response are greater in magnitude and significance than in risk-neutral models.

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    Bibliographic Info

    Article provided by Western Agricultural Economics Association in its journal Journal of Agricultural and Resource Economics.

    Volume (Year): 28 (2003)
    Issue (Month): 03 (December)
    Pages:

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    Handle: RePEc:ags:jlaare:31068

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    Web page: http://waeaonline.org/
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    Related research

    Keywords: autoregressive distributed lag model; beef supply response; dynamics; uncertainty; Agribusiness;

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    Cited by:
    1. Ndayitwayeko, W-M. & Odhiambo, M.O. & Nyangweso, P.M. & Korir, M., 2012. "Determinants of Beef Meat Supply in Burundi: A Vector Error Correction Model Approach Applied to structural Nerlov Paradign," 2012 Eighth AFMA Congress, November 25-29, 2012, Nairobi, Kenya 159414, African Farm Management Association (AFMA).

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