Expected Utility, Risk, and Market Behavior: Theory and Evidence from the Fed Cattle Market

The effect of carcass quality uncertainty on the structure of the slaughter cattle market was studied. We demonstrated that varying levels of producer preference for risk and producer perception of carcass quality risk are plausible explanations for: the coexistence of multiple pricing methods for slaughter cattle; the grid market share differential between steer and heifer slaughter volume; and the variability in market share of slaughter volume across alternative marketing channel and pricing mechanisms for slaughter cattle.


Issue Date:
2013-03
Publication Type:
Conference Paper/ Presentation
PURL Identifier:
http://purl.umn.edu/147660
Total Pages:
23
JEL Codes:
Q10
Note:
Powerpoint presentation




 Record created 2017-04-01, last modified 2017-08-27

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