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The Economics of Regulations on Hen Housing in California

Author

Listed:
  • Sumner, Daniel A.
  • Matthews, William A.
  • Mench, Joy A.
  • Rosen-Molina, J. Thomas

Abstract

Beginning January 1, 2015, conventional cage housing for egg-laying hens is scheduled to be prohibited in California. We consider the economic implications of the new hen housing regulations on the California shell egg industry. Our data show that egg production is more costly using noncage systems than conventional cages. The main result of the new regulations will be a drastic reduction in the number of eggs produced in California, a large increase in egg shipments from out of state, little if any change in hen housing for eggs consumed in California, and little change in egg prices in California.

Suggested Citation

  • Sumner, Daniel A. & Matthews, William A. & Mench, Joy A. & Rosen-Molina, J. Thomas, 2010. "The Economics of Regulations on Hen Housing in California," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 42(3), pages 1-10, August.
    • Handle: RePEc:ags:joaaec:92577
    DOI: 10.22004/ag.econ.92577
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    Citations

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    Cited by:

    1. Oh, Sohae & Vukina, Tomislav, 2020. "Quantifying the Welfare Effects of Laying-hen Cage Ban," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304408, Agricultural and Applied Economics Association.
    2. Cao, Ying & Chen, Chen & Cranfield, John & Widowski, Tina, 2017. "Market Responses to Information Conveying Mixed Messages – Prediction of Informational Impacts on Consumer Willingness to Pay for Eggs from Welfare Enhanced Cage Systems using Discrete Choice Experime," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258545, Agricultural and Applied Economics Association.
    3. Blemings, Benjamin & Zhang, Peilu & Neill, Clinton L., 2023. "Where is the value? The impacts of sow gestation crate laws on pork supply and consumer value perceptions," Food Policy, Elsevier, vol. 117(C).
    4. Szilvia Molnár & László Szőllősi, 2020. "Sustainability and Quality Aspects of Different Table Egg Production Systems: A Literature Review," Sustainability, MDPI, vol. 12(19), pages 1-22, September.
    5. Malone, Trey & Lusk, Jayson L., 2016. "Putting the Chicken Before the Egg Price: An Ex Post Analysis of California's Battery Cage Ban," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 41(3), pages 1-15, September.
    6. Thomas Sporleder & Michael Boland, 2013. "Seven Fundamental Economic Characteristics Exclusivity of Agrifood Supply Chains (part 2)," Economy of region, Centre for Economic Security, Institute of Economics of Ural Branch of Russian Academy of Sciences, vol. 1(4), pages 174-180.
    7. Hanbin Lee & Richard J. Sexton & Daniel A. Sumner, 2023. "National and subnational regulation of farm practices for consumer products sold within a jurisdiction: California's Proposition 12," Agricultural Economics, International Association of Agricultural Economists, vol. 54(6), pages 838-853, November.
    8. Robbins, J.A. & Franks, B. & Weary, D.M. & von Keyserlingk, M.A.G., 2016. "Awareness of ag-gag laws erodes trust in farmers and increases support for animal welfare regulations," Food Policy, Elsevier, vol. 61(C), pages 121-125.
    9. Ortega, David L. & Wolf, Christopher A., 2018. "Demand for farm animal welfare and producer implications: Results from a field experiment in Michigan," Food Policy, Elsevier, vol. 74(C), pages 74-81.
    10. Heng, Yan & Hanawa Peterson, Hikaru & Li, Xianghong, 2013. "Consumer Attitudes toward Farm-Animal Welfare: The Case of Laying Hens," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 38(3), pages 1-17.
    11. Keller, Andrew & Boland, Michael & Çakır, Metin, 2020. "The Impact of an Increase in the Federal Minimum Wage on the Egg Industry," Staff Papers 303916, University of Minnesota, Department of Applied Economics.
    12. Heng, Yan & Peterson, Hikaru Hanawa & Li, Xianghong, 2012. "Consumers’ Preferences for Shell Eggs Regarding Laying Hen Welfare," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124592, Agricultural and Applied Economics Association.

    More about this item

    Keywords

    Agribusiness; Agricultural and Food Policy; Agricultural Finance; Consumer/Household Economics; Farm Management; Livestock Production/Industries; Production Economics; Productivity Analysis;
    All these keywords.

    JEL classification:

    • Q11 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Aggregate Supply and Demand Analysis; Prices
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

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