E.coli Recalls and Meat Demand: An Updated Assessment

This study examines the impact of E.coli recalls on U.S. meat demand. Quarterly E.coli recalls from 1994-2016 are used to develop E.coli indices specific to beef, pork, and poultry collected by the U.S. Department of Agriculture-Food Safety Inspection Service. The findings of the absolute price version of the Rotterdam model with structural shifters suggest that recalls have no significant impact on meat demand as a whole. This implies consumers are less sensitive to E.coli recalls than previously found.