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Economic Impacts of Regionalization of a Highly Pathogenic Avian Influenza Outbreak in the United States

Published online by Cambridge University Press:  28 April 2015

Philip L. Paarlberg ,
Ann Hillberg Seitzinger  and
John G. Lee
Philip L. Paarlberg
Affiliation:
Department of Agricultural Economics, Purdue University, West Lafayette, IN
Ann Hillberg Seitzinger
Affiliation:
Centers for Epidemiology and Animal Health, Veterinary Services, Animal and Plant Health Inspection Service, U.S. Department of Agriculture, Fort Collins, CO
John G. Lee
Affiliation:
Department of Agricultural Economics, Purdue University, West Lafayette, IN
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Abstract

This analysis examines the economic impact of an outbreak of highly pathogenic avian influenza (HPAI) and the consequences of regionalization. The results suggest that an outbreak would have serious economic effects. Depending on the regionalization scenario, returns to capital and management in the poultry meat and egg sectors would fall between $602 million and $853 million dollars over 16 quarters. Consumers of poultry meat lose $900 million in consumer surplus in the first four quarters, a decline of 10.7%. Egg consumer surplus falls 17.1%. Regionalization lowers the economic welfare losses for producers because it dampens the export loss.

Keywords

high pathogenic avian influenzainternational tradepoultryregionalizationQ11Q17Q18
Type
Invited Paper Sessions
Information
Journal of Agricultural and Applied Economics , Volume 39 , Issue 2 , August 2007 , pp. 325 - 333
Copyright
Copyright © Southern Agricultural Economics Association 2007

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References

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