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Short-Term Adjustments in Yellow Sheet Carcass Prices for Red Meats

Author

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  • John M. Marsh
  • Gary W. Brester

Abstract

The Pascal density function was used to estimate monthly Yellow Sheet carcass prices for beef, pork, and lamb. Yellow Sheet prices have been criticized for lack of economic responsiveness due to small sampling and thin negotiated markets. However, the statistical results show that systematic economic factors explain about 85% of the variation in Yellow Sheet prices, i.e., direct and competitive production, cold storage, disposable income, and seasonality. Though the role of the stochastic error process was relatively small, a continual decline in negotiated transactions could increase its role, raising questions about wholesale market pricing efficiency.

Suggested Citation

  • John M. Marsh & Gary W. Brester, 1985. "Short-Term Adjustments in Yellow Sheet Carcass Prices for Red Meats," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 67(3), pages 591-599.
    • Handle: RePEc:oup:ajagec:v:67:y:1985:i:3:p:591-599.
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    File URL: http://hdl.handle.net/10.2307/1241080
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    Cited by:

    1. Nyankori, James Cyprian Okuk, 1991. "Price Transmission In The Catfish Industry With Specific Emphasis On The Role Of Processing Cooperatives," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 23(1), pages 1-6, July.
    2. Grundmeier, Eric (Eric L.), 1989. "Formulation of a carcass cutout value: an alternative wholesale beef pricing method," ISU General Staff Papers 1989010108000017580, Iowa State University, Department of Economics.

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