IDEAS home Printed from
   My bibliography  Save this paper

Modeling The Effects Of Country Of Origin Labeling On Meat Producers And Consumers


  • Lusk, Jayson L.
  • Anderson, John D.


Although several studies have estimated the costs of implementing and maintaining country of origin labeling (COOL), no previous study has documented how increased costs imposed by COOL will be distributed throughout the livestock sector and how producer and consumer welfare will ultimately be affected. This paper develops an equilibrium displacement model of the farm, wholesale, and retail markets for beef, pork, and poultry that is able to document how producers and consumers will be affected by added costs of COOL. In addition the model is able to determine the level of increased consumer demand needed to make producers welfare neutral to the policy. Empirical results indicate that as COOL costs are shifted from the producer to the processor and retailer, producers are made increasingly better off while consumers are made increasingly worse off. Empirical model results also indicate that an increase in aggregate consumer demand (willingness-to-pay) on the magnitude of 2% to 3% is likely sufficient to offset lost producer welfare due to increased costs imposed by COOL.

Suggested Citation

  • Lusk, Jayson L. & Anderson, John D., 2003. "Modeling The Effects Of Country Of Origin Labeling On Meat Producers And Consumers," Staff Papers 28660, Purdue University, Department of Agricultural Economics.
  • Handle: RePEc:ags:puaesp:28660
    DOI: 10.22004/ag.econ.28660

    Download full text from publisher

    File URL:
    Download Restriction: no


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

    Cited by:

    1. Chung, Chanjin & Zhang, Tong & Peel, Derrell S., 2004. "Will Country-Of-Origin Labeling (Cool) Be 'Cool' For The U.S. Meat Industry?," 2004 Annual meeting, August 1-4, Denver, CO 19934, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

    More about this item


    Consumer/Household Economics;


    Access and download statistics


    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:puaesp:28660. 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: .

    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.