| Registro completo |
| Provedor de dados: |
AgEcon
|
| País: |
United States
|
| Título: |
Uncertainty and Producer Fed Cattle Marketing Decisions: Theory and Evidence
|
| Autores: |
Fausti, Scott W.
Lange, Brent
|
| Data: |
2011-04-14
|
| Ano: |
2011
|
| Palavras-chave: |
Quality uncertainty
Risk
Market structure
Slaughter cattle markets
Demand and Price Analysis
Livestock Production/Industries
Risk and Uncertainty
D40
D81
Q10
|
| Resumo: |
This article has been submitted to the CJAE.
The effect of carcass quality uncertainty on the structure of the slaughter cattle market is investigated. A theoretical extension of the "Theory of Factor Price Disparity" is provided. It is demonstrated that the coexistence of a risk premium wedge between pricing mechanisms (live wt., dressed wt., and grid) in conjunction with varying degrees of risk aversion across fed cattle producers explains the coexistence of multiple pricing mechanisms. It is also demonstrated that risk and risk preference provides a plausible explanation for the structure of the fed cattle market and for the variability in slaughter volume across marketing channels. Empirical evidence is provided in support of the supposition that carcass quality uncertainty plays a role in grid market share variability.
|
| Tipo: |
Report
|
| Idioma: |
Inglês
|
| Identificador: |
http://purl.umn.edu/102692
|
| Relação: |
South Dakota State University>Department of Economics>Economics Staff Papers
Economics Staff Paper
2011-1
|
| Formato: |
29
|
