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Measuring the Impact of a BSE Announcement on U.S. Retail Beef Sales: A Time-Series Analysis

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  • Crowley, Christian S.L.
  • Shimazaki, Yoshiaki
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    Abstract

    On December 23, 2003, Agriculture Secretary Ann M. Veneman announced that the United States Department of Agriculture had diagnosed the first U.S. case of bovine spongiform encephalopathy (BSE), commonly known as “mad cow disease.†This study uses supermarket sales data to analyze the effect of the BSE announcement on U.S. retail beef sales, finding a statistically significant disruption of sales. In addition, we develop a forecast of retail beef sales revenues in the hypothetical absence of BSE. The forecast implies that the BSE announcement may have reduced domestic retail beef revenues in excess of $11 billion in the post-BSE period.

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    Bibliographic Info

    Article provided by Agricultural Economics Association of Georgia in its journal Journal of Agribusiness.

    Volume (Year): 23 (2005)
    Issue (Month): 1 ()
    Pages:

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    Handle: RePEc:ags:jloagb:59609

    Contact details of provider:
    Postal: 301 Conner Hall, University of Georgia, Athens, GA 30602-7509
    Web page: http://www.agecon.uga.edu/~jab/
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    Related research

    Keywords: ARIMA models; BSE; mad cow disease; U.S. retail beef sales; Health Economics and Policy; Livestock Production/Industries;

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    Cited by:
    1. Schlenker, Wolfram & Villas-Boas, Sofia B, 2008. "Consumer and Market Responses to Mad-Cow Disease," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt7995j7cm, Department of Agricultural & Resource Economics, UC Berkeley.
    2. Moghadam, Arian Khaleghi & Schmidt, Claudia & Grier, Kevin, 2013. "The impact of E. Coli O157:H7 recalls on live cattle futures prices: Revisited," Food Policy, Elsevier, vol. 42(C), pages 81-87.

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