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Global Welfare Impacts of U.S. Meat Promotion Activities

Published online by Cambridge University Press:  15 September 2016

Shida Rastegari Henneberry ,
Joao E. Mutondo  and
B. Wade Brorsen
Shida Rastegari Henneberry
Affiliation:
Department of Agricultural Economics at Oklahoma State University in Stillwater, Oklahoma
Joao E. Mutondo
Affiliation:
Department of Crop Production and Protection at Eduardo Mondlane University in Maputo, Mozambique
B. Wade Brorsen
Affiliation:
Department of Agricultural Economics at Oklahoma State University in Stillwater, Oklahoma
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Abstract

An equilibrium displacement model of the U.S. meat markets is used to measure the potential impacts of promotion investment, differentiating meats by types and by supply source, taking into account the U.S. participation in global meat markets, and considering imperfect competition in the meat industry. The increase in U.S. producer welfare resulting from a 10 percent increase in promotion ranges from -$1.29 million to $2.60 million for U.S. beef producers and from -$0.96 million to $1.67 million for U.S. pork producers, depending primarily on the advertising elasticity used.

Keywords

equilibrium displacement modelinternational tradebeef and pork promotion activities
Type
Contributed Papers
Information
Agricultural and Resource Economics Review , Volume 38 , Issue 3 , December 2009 , pp. 418 - 430
Copyright
Copyright © 2009 Northeastern Agricultural and Resource Economics Association 

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