Cattle Cycles, Heterogeneous Expectations and the Age Distribution of Capital
AbstractThis paper builds a dynamic forward-looking model describing the approximate ten-year cattle cycle. The theoretical model improves on existing models by (1) keeping track of the age distribution of the capital stock, (2) allowing for heterogeneous expectations, and (3) recognizing that cow-calf operators make investment decisions on both the cow and calf margins. The model is then calibrated and used to simulate artificial data that endogenously generates ten-year cycles in the total stock of cattle.
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Bibliographic InfoPaper provided by EconWPA in its series Others with number 0211002.
Date of creation: 15 Nov 2002
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Other versions of this item:
- Aadland, David, 2004. "Cattle cycles, heterogeneous expectations and the age distribution of capital," Journal of Economic Dynamics and Control, Elsevier, vol. 28(10), pages 1977-2002, September.
- David Aadland, 2001. "Cattle Cycles, Heterogeneous Expectations and the Age Distribution of Capital," Working Papers 2002-02, Utah State University, Department of Economics.
- Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General
This paper has been announced in the following NEP Reports:
- NEP-AGR-2002-12-17 (Agricultural Economics)
- NEP-ALL-2002-11-18 (All new papers)
- NEP-DGE-2002-11-18 (Dynamic General Equilibrium)
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