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Producer Welfare Changes From Meat And Poultry Recalls

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  • Shiptsova, Rimma
  • Thomsen, Michael R.
  • Goodwin, Harold L., Jr.

Abstract

The number and volume of meat and poultry recalls has increased substantially in recent years. This is likely due to regulatory emphasis on foodborne illness resulting in an increased frequency of testing for pathogens. We use an equilibrium-displacement model to examine the effects of recall costs on the beef, pork, and poultry industries. Results suggest that higher recall costs may have actually increased producer surplus to the broiler industry because of consumer substitution among products and that most losses resulting from recalls are accruing to the beef and pork industries.

Suggested Citation

  • Shiptsova, Rimma & Thomsen, Michael R. & Goodwin, Harold L., Jr., 2002. "Producer Welfare Changes From Meat And Poultry Recalls," Journal of Food Distribution Research, Food Distribution Research Society, vol. 33(2), pages 1-9, July.
    • Handle: RePEc:ags:jlofdr:26626
    DOI: 10.22004/ag.econ.26626
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    References listed on IDEAS

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    5. Laurian J. Unnevehr & Miguel I. Gómez & Philip Garcia, 1998. "The Incidence of Producer Welfare Losses from Food Safety Regulation in the Meat Industry," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 20(1), pages 186-201.
    6. Michael R. Thomsen & Andrew M. McKenzie, 2001. "Market Incentives for Safe Foods: An Examination of Shareholder Losses from Meat and Poultry Recalls," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 526-538.
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    Citations

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    Cited by:

    1. Resende-Filho, Moises & Buhr, Brian, 2007. "Economics of traceability for mitigation of food recall costs," MPRA Paper 3650, University Library of Munich, Germany.
    2. Isabel Knößlsdorfer & Matin Qaim, 2023. "Cheap chicken in Africa: Would import restrictions be pro-poor?," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 15(3), pages 791-804, June.
    3. Loureiro, Maria L. & Umberger, Wendy J., 2004. "A Choice Experiment Model For Beef Attributes: What Consumer Preferences Tell Us," 2004 Annual meeting, August 1-4, Denver, CO 19931, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    4. Hooker, Neal H. & Teratanavat, Ratapol P. & Salin, Victoria, 2005. "Crisis management effectiveness indicators for US meat and poultry recalls," Food Policy, Elsevier, vol. 30(1), pages 63-80, February.
    5. Loureiro, Maria L. & Umberger, Wendy J., 2007. "A choice experiment model for beef: What US consumer responses tell us about relative preferences for food safety, country-of-origin labeling and traceability," Food Policy, Elsevier, vol. 32(4), pages 496-514, August.
    6. Neill, Clinton L. & Chen, Susan E., 2021. "Food Safety Events versus Media: Nonlinear Effects of Egg Recalls on U.S. Egg Prices," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 47(1), January.
    7. Salin, Victoria & Darmasena, Senarath & Wong, Alex & Luo, Ping, 2006. "Food-Product Recalls in the U.S., 2000-2003," Journal of Food Distribution Research, Food Distribution Research Society, vol. 37(1), pages 1-5, March.
    8. Бородин К.Г., 2016. "Модель Прогноза Развития Товарных Рынков В Условиях Меняющихся Мер Государственной Политики," Журнал Экономика и математические методы (ЭММ), Центральный Экономико-Математический Институт (ЦЭМИ), vol. 52(1), pages 95-111, январь.
    9. Umberger, Wendy J. & Feuz, Dillon M. & Calkins, Chris R. & Sitz, Bethany M., 2003. "Country-Of-Origin Labeling Of Beef Products: U.S. Consumers' Perceptions," Journal of Food Distribution Research, Food Distribution Research Society, vol. 34(3), pages 1-14, November.

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