Price Discovery in Nebraska Cattle Markets

Monthly observations on prices from 10 weight/gender classifications of Nebraska beef cattle are studied in an error correction model (ECM) framework. This study attempts a replication of the 2003 paper on Texas prices by Bessler and Davis, where they find medium heifers (600–700 lb) at the center of price discovery. Using the ECM results Nebraska light steers are found to be weakly exogenous, with the innovation accounting results showing marked differences. Industry structure, production choices, and animal type and breeding herd differences between Texas and Nebraska are proposed as plausible reasons for partial (or incomplete) success at replication.


Issue Date:
2010-02
Publication Type:
Journal Article
PURL Identifier:
http://purl.umn.edu/57149
Published in:
Journal of Agricultural and Applied Economics, Volume 42, Number 1
Page range:
1-14
Total Pages:
14
JEL Codes:
C49; Q13




 Record created 2017-04-01, last modified 2017-08-25

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