IDEAS home Printed from https://ideas.repec.org/a/oup/ajagec/v85y2003i2p387-395.html
   My bibliography  Save this article

Market Transparency and Market Structure: The Livestock Mandatory Reporting Act of 1999

Author

Listed:
  • Azzeddine Azzam

Abstract

The premise of the Livestock Mandatory Reporting Act of 1999 is that enhanced transparency promotes competition. This article provides a theoretical study of the consequences of such transparency for the structure, conduct, and performance of the livestock industry. I conclude that the usefulness of the Act to the livestock industry may not be in the value of reported information to feeders, as the supporters of the Act claim. Rather, by forcing packers to pool information at negligible marginal cost, the Act may foster more competitive conduct in the procurement of livestock. Copyright 2003, Oxford University Press.

Suggested Citation

  • Azzeddine Azzam, 2003. "Market Transparency and Market Structure: The Livestock Mandatory Reporting Act of 1999," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(2), pages 387-395.
  • Handle: RePEc:oup:ajagec:v:85:y:2003:i:2:p:387-395
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1111/1467-8276.00127
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Franken, Jason R.V. & Parcell, Joe L. & Tonsor, Glynn T., 2011. "Impact of Mandatory Price Reporting on Hog Market Integration," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 43(2), pages 229-241, May.
    2. Steiner, Bodo E., 2007. "Formal beef alliances and alignment challenges: issues in contracting, pricing and quality," Project Report Series 7709, University of Alberta, Department of Resource Economics and Environmental Sociology.
    3. Appelbaum, Elie & Lim, Chin, 1982. "Long-run industry equilibrium with uncertainty," Economics Letters, Elsevier, vol. 9(2), pages 139-145.
    4. Dimitrios Panagiotou, 2019. "Market Power Effects of the Livestock Mandatory Reporting Act in the U.S. Meat Industry: a Stochastic Frontier Approach Under Uncertainty," Journal of Industry, Competition and Trade, Springer, vol. 19(1), pages 103-122, March.
    5. Fausti, S.W & Diersen, M., 2003. "Did the Voluntary Price Reporting System Fail to Provide Price Transparency in the Cash Market for Dressed Steers: Evidence from South Dakota," Staff Papers 030001, South Dakota State University, Department of Economics.
    6. Pozo, Veronica F. & Bejan, Vladimir & Tejeda, Hernan, 2016. "Disentangling Supply and Demand Shocks to Identify Changes in the Live Cattleā€™s Market Structure Post Livestock Mandatory Price Reporting Act," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236234, Agricultural and Applied Economics Association.
    7. Joseph, Kishore & Garcia, Philip & Peterson, Paul E., 2016. "Does the Boxed Beef Price Inform the Live Cattle Futures Price?," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236166, Agricultural and Applied Economics Association.
    8. Fausti, Scott & Diersen, Matthew, 2005. "Price Transparency in the Voluntary Price Reporting System for Live Cattle: Theory and Empirical Evidence from South Dakota," Staff Papers 050001, South Dakota State University, Department of Economics.
    9. Scott W. Fausti & Zhiguang Wang & Bashir A. Qasmi & Matthew A. Diersen, 2014. "Risk and marketing behavior: pricing fed cattle on a grid," Agricultural Economics, International Association of Agricultural Economists, vol. 45(5), pages 601-612, September.
    10. Fausti, Scott W. & Diersen, Matthew A. & Qasmi, Bashir A., 2007. "Public Price Reporting in the Cash Market for Live Cattle: A Spatial Market Approach," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 36(2), pages 1-13, October.
    11. Fausti, Scott W. & Diersen, Matthew A., 2004. "The Voluntary Reporting System's Ability to Provide Price Transparency in the Cash Market for Dressed Steers: Evidence from South Dakota," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 29(3), pages 1-14, December.
    12. Rasch, Alexander & Herre, Jesko, 2013. "Customer-side transparency, elastic demand, and tacit collusion under differentiation," Information Economics and Policy, Elsevier, vol. 25(1), pages 51-59.
    13. Fausti, Scott & Qasmi, Bashir & Diersen, Matt, 2007. "Public Reporting of Fed Cattle Grid Prices: Policy Reform Consequences," Staff Papers 070001, South Dakota State University, Department of Economics.
    14. Chanjin Chung & Johnna Rushin & Prasanna Surathkal, 2018. "Impact of the livestock mandatory reporting act on the vertical price transmission within the beef supply chain," Agribusiness, John Wiley & Sons, Ltd., vol. 34(3), pages 562-578, June.
    15. Fausti, Scott W. & Diersen, Matthew A. & Sun, He, 2003. "Discontinued Voluntary Price Reports For Live Cattle: Will They Be Missed By Producers?," Economics Staff Papers 32019, South Dakota State University, Department of Economics.
    16. Azzam, Azzeddine M. & Salvador, Santiago, 2004. "Information pooling and collusion: an empirical analysis," Information Economics and Policy, Elsevier, vol. 16(2), pages 275-286, June.
    17. Lusk, Jayson L., 2016. "From Farm Income to Food Consumption: Valuing USDA Data Products," C-FARE Reports 266593, Council on Food, Agricultural, and Resource Economics (C-FARE).

    More about this item

    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:oup:ajagec:v:85:y:2003:i:2:p:387-395. 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: (Oxford University Press). General contact details of provider: http://edirc.repec.org/data/aaeaaea.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.

    We have no references for this item. You can help adding them by using 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.