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Quarterly Livestock Sector Adjustments to Changes in Feed Grain Prices

Author

Listed:
  • Westcott, Paul C.
  • Stillman, Richard P.
  • Collins, Keith J.

Abstract

A quarterly econometric model for U S agriculture is used to illustrate shortrun and longrun adjustments m major livestock subsectors resulting from changes m feed gram prices Adjustments in the different livestock subsectors differ sharply m both speed and magnitude because of underlying biological and economic constraints, feed-use efficiencies, and industry structures All livestock producers benefit from lower feed grain prices Cattle feeders, hog producers, and dairy producers appear to benefit most in the long run, whereas poultry producers and cow-calf enterprises benefit least Consumers also benefit from reduced feed grain prices because retail prices for meats are generally lower lifter an initial period of somewhat higher meat prices as current production is reduced to expand cattle and hog breeding herds

Suggested Citation

  • Westcott, Paul C. & Stillman, Richard P. & Collins, Keith J., 1987. "Quarterly Livestock Sector Adjustments to Changes in Feed Grain Prices," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 39(1), pages 1-12.
    • Handle: RePEc:ags:uersja:149358
    DOI: 10.22004/ag.econ.149358
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