Effects of Meat Recalls on Futures Market Prices

The number of meat recalls has increased markedly in recent years. This research examines the impact of beef and pork recall announcements on nearby daily live cattle and lean hog futures market prices, respectively. Results indicate medium-sized beef recalls that are of serious health concerns have a marginally negative impact on short-term live cattle futures prices. However, results are not robust across recall size and severity. This research suggests that if there is any systematic change in cattle and hog demand due to meat recalls, it likely occurs over an extended period of time and only in certain cases does it noticeably affect daily futures prices.


Issue Date:
2002-04
Publication Type:
Journal Article
PURL Identifier:
http://purl.umn.edu/31477
Published in:
Agricultural and Resource Economics Review, Volume 31, Number 1
Page range:
47-58
Total Pages:
12




 Record created 2017-04-01, last modified 2017-08-24

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