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Anti-Corporate Farming Laws and Industry Structure: The Case of Cattle Feeding

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  • Schroeter, John R.
  • Azzam, Azzeddine M.
  • Aiken, J. David

Abstract

Nine mid-western states have laws that restrict the involvement of publicly held corporations in agriculture. Opponents argue that the laws' direct efforts to regulate ownership structure may have an adverse indirect impact on size structure. Restricting corporate involvement might stifle the emergence and growth of efficient, large-scale establishments if corporations have advantages over other organizational forms in meeting capital requirements. Since 1982, Nebraska has had an anti-corporate farming law that prohibits corporate ownership of feedlots. We test whether the implementation of the Nebraska law had an impact on the stochastic process governing the evolution of the state's feedlot size distribution.

Suggested Citation

  • Schroeter, John R. & Azzam, Azzeddine M. & Aiken, J. David, 2006. "Anti-Corporate Farming Laws and Industry Structure: The Case of Cattle Feeding," Staff General Research Papers Archive 12491, Iowa State University, Department of Economics.
    • Handle: RePEc:isu:genres:12491
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    Cited by:

    1. Batie, Cicely M. & Dennis, Elliott J. & Lubben, Bradley D., 2020. "Do state-level agricultural promotion programs increase agricultural output? The case of the Livestock Friendly County designation program in Nebraska," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304399, Agricultural and Applied Economics Association.
    2. Ostapchuk, Igor & Gagalyuk, Taras & Curtiss, Jarmila, 2021. "Post-acquisition integration and growth of farms: the case of Ukrainian agroholdings," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 24(4), April.
    3. Jürgen Wandel, 2011. "Business groups and competition in post-Soviet transition economies: The case of Russian “agroholdings”," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 24(4), pages 403-450, December.
    4. Wandel, Jürgen, 2011. "Integrierte Strukturen im Agrar- und Ernährungssektor Russlands: Entstehungsgründe, Funktionsweise, Entwicklungsperspektiven und volkswirtschaftliche Auswirkungen. Band I und II," Studies on the Agricultural and Food Sector in Transition Economies, Leibniz Institute of Agricultural Development in Transition Economies (IAMO), volume 63, number 63.
    5. Keller, Andrew J. & Boland, Michael A. & Petty, Scott A., 2022. "The Growing Use of Alternative Farmland Ownership Methods in the U.S," Journal of the ASFMRA, American Society of Farm Managers and Rural Appraisers, vol. 2022.
    6. Lee, Hanbin & Sexton, Richard J. & Sumner, Daniel A., 2022. "Government Restrictions on Food Available to Consumers: Economics of Regulations that Limit Farming Practices for Products Sold within Jurisdictions, with Application to California’s 2022 Pork Rules," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322438, Agricultural and Applied Economics Association.

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