Risk Classification in Animal Disease Prevention: Who Benefits from Differentiated Policy?
AbstractRisk classification of livestock farms can help stakeholders design and implement risk management measures according to the possessed risk. Our goal is to examine how differently pig farms may contribute to the societal costs of an animal disease outbreak, how valuable this information is to different stakeholders, and how it can be used to target risk management measures. We show that the costs of an outbreak starting from a certain farm can be quantified for the entire sector using bio-economic models. In further studies, this quantified risk can be differentiated so that farms and slaughterhouses internalise the full cost of risk in production decisions and inhibit animal densities, animal contact structures or other characteristics which pose a threat to the sector. Potential benefits due to risk classification could be received by society and producers, and in the long run also by consumers.
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Bibliographic InfoPaper provided by Agricultural and Applied Economics Association in its series 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin with number 49307.
Date of creation: 30 Apr 2009
Date of revision:
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Risk classification; animal disease; simulation; dynamic programming; partial-equilibrium; losses; Agricultural and Food Policy; Agricultural Finance; Livestock Production/Industries; Risk and Uncertainty;
This paper has been announced in the following NEP Reports:
- NEP-AGR-2009-05-16 (Agricultural Economics)
- NEP-ALL-2009-05-16 (All new papers)
- NEP-RMG-2009-05-16 (Risk Management)
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.:
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"Livestock Disease Indemnity Design When Moral Hazard is Followed by Adverse Selection,"
2008 Annual Meeting, July 27-29, 2008, Orlando, Florida
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