Global populations of livestock have shown substantial increases as result of world development. Therefore, it is appropriate that more attention be given to the economics of animal husbandry. Interventions to improve or maintain the health of livestock are important aspects of such husbandry and are the focus of this paper. It is argued that there is a need to go beyond traditional economic analyses of this subject. In particular, there is a need to analyse the social economic impact of control of livestock diseases not only in terms of variations in markets for livestock products, but in terms of livestock markets themselves. This is more informative. In addition, measures to control livestock diseases should be looked upon as investments in maintaining or improving livestock capital or quality, but this has not been the standard approach to the analysis of the economics of decisions by holders of livestock. As demonstrated in this paper, new insights are attained by approaching the economics of livestock health from these two different perspectives.