IDEAS home Printed from https://ideas.repec.org/a/ags/cafric/45698.html
   My bibliography  Save this article

The Great Emu Bubble: A Retrospective Look at a New Industry Failure

Author

Listed:
  • Turvey, Calum G.
  • Sparling, David

Abstract

Innovative new products offer agri-food producers and processors an opportunity to differentiate their output from the commodities prevalent in the sector. Unfortunately, many new products do not live up to initial expectations and are eventually abandoned. However, even with products that are doomed to fail, there is occasionally a period of time after their introduction when strong, but fallacious, indicators of success appear. Sometimes the initial appearance of success is so strong that new entrants rush in, increasing demand and prices for production capacity, thereby strengthening the illusion of industry success. Eventually, supply catches up to the unsupported demand and the bubble bursts. The fall is often dramatic and painful. This paper provides a retrospective examination of the economic factors surrounding one example of such a situation, the Ontario emu bubble between 1993 and 1996.

Suggested Citation

  • Turvey, Calum G. & Sparling, David, 2002. "The Great Emu Bubble: A Retrospective Look at a New Industry Failure," CAFRI: Current Agriculture, Food and Resource Issues, Canadian Agricultural Economics Society, issue 03.
  • Handle: RePEc:ags:cafric:45698
    as

    Download full text from publisher

    File URL: http://purl.umn.edu/45698
    Download Restriction: no

    References listed on IDEAS

    as
    1. Jeffrey M. Gillespie & Alvin R. Schupp, 2002. "The Role of Speculation and Information in the Early Evolution of the United States Ostrich Industry: An Industry Case Study," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 24(1), pages 278-292.
    2. Moschini, GianCarlo & Moro, D., 1993. "Food Demand System for Canada, A," Staff General Research Papers Archive 12753, Iowa State University, Department of Economics.
    3. Moschini, G. & Moro, D., 1993. "A Food demand System for Canada," Papers 1-93, Gouvernement du Canada - Agriculture Canada.
    4. Moschini, Giancarlo & Moro, Daniele, 1993. "A Food Demand System for Canada," Technical Reports 243853, Agriculture and Agri-Food Canada.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    International Relations/Trade;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:cafric:45698. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search). General contact details of provider: http://edirc.repec.org/data/caefmea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.