Technological Change In The U.S. Beef And Pork Sectors: Impacts On Farm-Wholesale Marketing Margins And Livestock Prices
Real livestock prices and farm-wholesale marketing margins have steadily declined over the past 20 years. Many studies have examined the effects of increasing packer concentration on these declines. However, most have generally failed to account directly for technological change in livestock production and red meat slaughtering. We estimate reduced form models for beef and pork farm-wholesale marketing margins and cattle and hog prices that specifically include measures of technological change. Empirical results indicate that meat packing technology has reduced real margins and technological change embodied in cattle and hog production accounts for substantial declines in real slaughter cattle and hog prices. When technological change is explicitly considered, we find that increasing packer concentration: (1) does not affect real farm-wholesale marketing margins, (2) positively affects real slaughter cattle prices, and (3) does not affect real slaughter hog prices.
|Date of creation:||1999|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: (406) 994-3701
Fax: (406) 994-4838
Web page: http://www.montana.edu/econ
More information through EDIRC
References listed on IDEAS
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.:
- James Kliebenstein & Peter F. Orazem, 1999.
"The Structure of Wages and Benefits in the U.S. Pork Industry,"
American Journal of Agricultural Economics,
Agricultural and Applied Economics Association, vol. 81(1), pages 144-163.
- Hurley, Terrance M. & Kliebenstein, James & Orazem, Peter, 1999. "The Structure of Wages and Benefits in the U.S. Pork Industry," Staff General Research Papers 1475, Iowa State University, Department of Economics.
- Dunn, James E. & Heien, Dale, 1985. "The Demand For Farm Output," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 10(01), July.
- Quail, Gwen & Marion, Bruce & Geithman, Frederick & Marquardt, Jeffrey, 1986. "The Impact of Packer Buyer Concentration on Live Cattle Prices," Working Papers 204089, University of Wisconsin-Madison, Department of Agricultural and Applied Economics, Food System Research Group.
- Donald W. Anderson & Brian C. Murray & Jackqueline L. Teague & Richard C. Lindrooth, 1998. "Exit from the Meatpacking Industry: A Microdata Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(1), pages 96-106.
- Brester, Gary W. & Musick, Douglas C., 1995. "The Effect Of Market Concentration On Lamb Marketing Margins," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 27(01), July.
- Lustgarten, Steven, 1979. "Gains and Losses from Concentration: A Comment," Journal of Law and Economics, University of Chicago Press, vol. 22(1), pages 183-90, April.
- Schroeder, Ted C. & Ward, Clement E. & Mintert, James R. & Peel, Derrell S., 1997. "Value-Based Pricing of Fed Cattle: Challenges and Research Agenda," 1997 Annual Meeting, July 13-16, 1997, Reno\Sparks, Nevada 35837, Western Agricultural Economics Association.
- Eales, James S., 1994. "The Inverse Lewbel Demand System," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 19(01), July.
- John M. Marsh, 1999. "The Effects of Breeding Stock Productivity on the U.S. Beef Cattle Cycle," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 81(2), pages 335-346.
- Brester, Gary W. & Schroeder, Ted C. & Mintert, James R., 1997. "Challenges to the Beef Industry," Choices, Agricultural and Applied Economics Association, vol. 12(4).
- Lee, Jung-Hee & Brorsen, B. Wade, 1994. "Effect Of Risk Aversion On Feeder Cattle Prices," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 26(02), December.
When requesting a correction, please mention this item's handle: RePEc:ags:motrdp:29242. 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)
If references are entirely missing, you can add them using this form.