The Impacts of Animal Disease Crises on the Korean Meat Market
AbstractEmploying the error correction method and historical decomposition with direct acyclic graphs, we quantify the impacts of domestic and oversea animal disease crises on the Korean meat markets. We find that (a) the market partially recovered 16 months after the foot-and-mouth outbreak in 2000, and 13 months after the avian influenza and the U.S. BSE incidents in 2003; (b) animal disease outbreaks have differentiate impacts by disease type and supply chain level. Retailers likely to have windfall profits as the retail price margin increased relative to the farm and wholesale levels; and (c) disease outbreaks affect dynamic price interdependence.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida with number 6365.
Date of creation: 2008
Date of revision:
Contact details of provider:
Postal: 555 East Wells Street, Suite 1100, Milwaukee, Wisconsin 53202
Phone: (414) 918-3190
Fax: (414) 276-3349
Web page: http://www.aaea.org
More information through EDIRC
Animal disease outbreak; Error correction model; Direct acyclic graphs; Korean meat market; Historical Decomposition; Price margins; Livestock Production/Industries; C32; Q11; L11;
Other versions of this item:
- Moonsoo Park & Yanhong H. Jin & David A. Bessler, 2008. "The impacts of animal disease crises on the Korean meat market," Agricultural Economics, International Association of Agricultural Economists, vol. 39(2), pages 183-195, 09.
- C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
- Q11 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Aggregate Supply and Demand Analysis; Prices
- L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-11-18 (All new papers)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Geweke, John F & Meese, Richard, 1981.
"Estimating Regression Models of Finite but Unknown Order,"
International Economic Review,
Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 22(1), pages 55-70, February.
- Geweke, John & Meese, Richard, 1981. "Estimating regression models of finite but unknown order," Journal of Econometrics, Elsevier, vol. 16(1), pages 162-162, May.
- Spencer Henson & Mario Mazzocchi, 2002. "Impact of Bovine Spongiform Encephalopathy on Agribusiness in the United Kingdom: Results of an Event Study of Equity Prices," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(2), pages 370-386.
- Lusk, Jayson L. & Schroeder, Ted C., 2000.
"Effects Of Meat Recalls On Futures Market Prices,"
2000 Conference, April 17-18 2000, Chicago, Illinois
18925, NCR-134 Conference on Applied Commodity Price Analysis, Forecasting, and Market Risk Management.
- John Leeming & Paul Turner, 2003.
"The BSE Crisis and the Price of Red Meat in the UK,"
2003002, The University of Sheffield, Department of Economics, revised Mar 2003.
- John Leeming & Paul Turner, 2004. "The BSE crisis and the price of red meat in the UK," Applied Economics, Taylor & Francis Journals, vol. 36(16), pages 1825-1829.
- Hikaru Hanawa Peterson & Yun-Ju (Kelly) Chen, 2005. "The impact of BSE on Japanese retail meat demand," Agribusiness, John Wiley & Sons, Ltd., vol. 21(3), pages 313-327.
- Ralf Brüggemann & Helmut Lütkepohl, 2005.
"Practical Problems with Reduced-rank ML Estimators for Cointegration Parameters and a Simple Alternative,"
Oxford Bulletin of Economics and Statistics,
Department of Economics, University of Oxford, vol. 67(5), pages 673-690, October.
- Ralf BRUEGGEMANN & Helmut LUETKEPOHL, 2004. "Practical Problems with Reduced Rank ML Estimators for Cointegration Parameters and a Simple Alternative," Economics Working Papers ECO2004/20, European University Institute.
- T. A. Lloyd & S. McCorriston & C. W. Morgan & A. J. Rayner, 2006. "Food scares, market power and price transmission: the UK BSE crisis," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 33(2), pages 119-147, June.
- Zijun Wang & Victoria Salin & Neal Hooker & David Leatham, 2002. "Stock market reaction to food recalls: a GARCH application," Applied Economics Letters, Taylor & Francis Journals, vol. 9(15), pages 979-987.
- Jill J. McCluskey & Kristine M. Grimsrud & Hiromi Ouchi & Thomas I. Wahl, 2005. "Bovine spongiform encephalopathy in Japan: consumers' food safety perceptions and willingness to pay for tested beef ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 49(2), pages 197-209, 06.
- Nicholas E. Piggott & Thomas L. Marsh, 2004. "Does Food Safety Information Impact U.S. Meat Demand?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(1), pages 154-174.
- Kevin Hoover & Selva Demiralp, 2003.
"Searching for the Causal Structure of a Vector Autoregression,"
33, University of California, Davis, Department of Economics.
- Selva Demiralp & Kevin D. Hoover, 2003. "Searching for the Causal Structure of a Vector Autoregression," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 65(s1), pages 745-767, December.
- 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.
- Lutz Kilian, 2008. "A Comparison of the Effects of Exogenous Oil Supply Shocks on Output and Inflation in the G7 Countries," Journal of the European Economic Association, MIT Press, vol. 6(1), pages 78-121, 03.
- Pritchett, James G. & Thilmany, Dawn D. & Johnson, Kamina K., 2005. "Animal Disease Economic Impacts: A Survey of Literature and Typology of Research Approaches," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IAMA), vol. 8(01).
- Hyun J. Jin & Won W. Koo, 2003. "The effect of the BSE outbreak in Japan on consumers' preferences," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 30(2), pages 173-192, June.
- Badi H. Baltagi & Zijun Wang, 2006.
"Testing for Cointegrating Rank via Model Selection: Evidence from 165 Data Sets,"
Center for Policy Research Working Papers
83, Center for Policy Research, Maxwell School, Syracuse University.
- Badi Baltagi & Zijun Wang, 2007. "Testing for Cointegrating Rank Via Model Selection: Evidence From 165 Data Sets," Empirical Economics, Springer, vol. 33(1), pages 41-49, July.
- Swanson, N.R. & Granger, C.W.J., 1994. "Impulse Response Functions Based on Causal Approach to Residual Orthogonalization in Vector Autoregressions," Papers 9-94-1, Pennsylvania State - Department of Economics.
- Saghaian, Sayed H. & Maynard, Leigh J. & Reed, Michael R., 2006. "The Effects of E. Coli 0157:H7, FMD and BSE on Japanese Retail Beef Prices: A Historical Decomposition," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25580, International Association of Agricultural Economists.
- Balogh, Peter & Ertsey, Imre & Szucs, Istvan, 2009. "Answer to the challenges of the 21st century in the Hungarian pig sector," 2009 Conference, August 16-22, 2009, Beijing, China 51027, International Association of Agricultural Economists.
- Oral Capps Jr. & Sergio Colin‐Castillo & Manuel A. Hernandez, 2013.
"Do Marketing Margins Change with Food Scares? Examining the Effects of Food Recalls and Disease Outbreaks in the U.S. Red Meat Industry,"
John Wiley & Sons, Ltd., vol. 29(4), pages 426-454, 09.
- Colin-Castillo, Sergio & Capps, Oral, Jr. & Hernandez, Manuel A., 2012. "Do Marketing Margins Change with Food Scares? Examining the Effects of Food Recalls and Disease Outbreaks in the U.S. Red Meat Industry," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124966, Agricultural and Applied Economics Association.
- Hernandez, Manuel & Colin-Castillo, Sergio & Capps, Oral, Jr., 2011. "Do marketing margins change with food scares?: Examining the effects of food recalls and disease outbreaks in the us red meat industry," IFPRI discussion papers 1104, International Food Policy Research Institute (IFPRI).
- Rault, Arnaud & Krebs, Stephane, 2011. "Livestock epidemics and catastrophic risk management: State of the art and prospects on economic dynamics," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114793, European Association of Agricultural Economists.
- Costa, Rafael F. & Bessler, David A. & Rosson, C. Parr, III, 2011. "The Impacts of Foot and Mouth Disease Outbreaks on the Brazilian Meat Market," 2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania 103811, Agricultural and Applied Economics Association.
- Arnaud Rault & Stéphane Krebs, 2011. "Catastrophic risk and risk management, what do we know about livestock epidemics? State of the art and prospects," Working Papers SMART - LERECO 201105, INRA UMR SMART.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).
If references are entirely missing, you can add them using this form.