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Exit Of Meat Slaughter Plants During Implementation Of The Pr/Haccp Regulations

Author

Listed:
  • Muth, Mary K.
  • Karns, Shawn A.
  • Wohlgenant, Michael K.
  • Anderson, Donald W.

Abstract

Implementation of the Pathogen Reduction and Hazard Analysis and Critical Control Points (PR/HACCP) regulations has occurred across all U.S. meat and poultry plants. A probit model is estimated to determine which factors have affected the probability of red meat slaughter plant exit during implementation of the regulations. While controlling for plant-level, company-level, regional-level, and supply conditions that may affect the probability of plant exit, smaller plants are found to exhibit a much greater probability of exit than larger plants. Other factors affecting plant exit include plant age, market share relative to the degree of market concentration, regional entry rates, and state-level wage rates.

Suggested Citation

  • Muth, Mary K. & Karns, Shawn A. & Wohlgenant, Michael K. & Anderson, Donald W., 2002. "Exit Of Meat Slaughter Plants During Implementation Of The Pr/Haccp Regulations," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 27(1), pages 1-17, July.
    • Handle: RePEc:ags:jlaare:31073
    DOI: 10.22004/ag.econ.31073
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    References listed on IDEAS

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    Cited by:

    1. Russell, Bonita I. & Shapiro, Daniel & Vining, Aidan R., 2010. "The evolution of the Canadian mining industry: The role of regulatory punctuation," Resources Policy, Elsevier, vol. 35(2), pages 90-97, June.
    2. Cui, Jingbo & Moschini, GianCarlo, 2020. "Firm internal network, environmental regulation, and plant death," Journal of Environmental Economics and Management, Elsevier, vol. 101(C).
    3. Mary K. Muth & Michael K. Wohlgenant & Shawn A. Karns, 2007. "Did the Pathogen Reduction and Hazard Analysis and Critical Control Points Regulation Cause Slaughter Plants to Exit?," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(3), pages 596-611.
    4. David W. Meyer & Christopher T. Taylor, 2018. "The Determinants of Plant Exit: the Evolution of the U.S. Refining Industry," Journal of Industry, Competition and Trade, Springer, vol. 18(4), pages 429-448, December.

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