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The Poultry Market: Demand Stability and Industry Structure

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  • Walter N. Thurman

Abstract

The stability of the demand for poultry meat and specification issues in its estimation are explored. The analysis concludes that the demand for poultry meat shifted out in the early 1970s. At the same time, the demand relationship between poultry and pork changed from substitution to independence. A second conclusion is that poultry price is predetermined for demand in annual U.S. data, while quantity is not. A predetermined price suggests several market structures. Exogeneity tests are performed to distinguish among them. The results are consistent with a competitive, constant returns-to-scale-industry facing elastic factor supplies.

Suggested Citation

  • Walter N. Thurman, 1987. "The Poultry Market: Demand Stability and Industry Structure," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 69(1), pages 30-37.
  • Handle: RePEc:oup:ajagec:v:69:y:1987:i:1:p:30-37.
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    File URL: http://hdl.handle.net/10.2307/1241303
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