Big government and your Big Mac : Analyzing the impact of corn and soybean subsidies on US meat markets

Extensive literature exists regarding the externalities of industrial meat production in the United States. There is also a belief that the growth of these production systems were facilitated by high levels of subsidies for corn and soybean, the primary crops, or byproducts of which are used to feed...

Descripción completa

Detalles Bibliográficos
Autor principal: Chudler, Nadav David
Formato: H2
Lenguaje:Inglés
Publicado: SLU/Dept. of Economics 2016
Materias:
_version_ 1855571536281337856
author Chudler, Nadav David
author_browse Chudler, Nadav David
author_facet Chudler, Nadav David
author_sort Chudler, Nadav David
collection Epsilon Archive for Student Projects
description Extensive literature exists regarding the externalities of industrial meat production in the United States. There is also a belief that the growth of these production systems were facilitated by high levels of subsidies for corn and soybean, the primary crops, or byproducts of which are used to feed livestock. This in turn suggests a linkage between feed crop subsidies and the externalities from meat production. Regardless of any impact these subsidies may have had on development of industrial meat production the only subsidies currently of relevance for corn and soybean are for insurance rate premiums. This paper proposes to examine the impact of these subsidies on the US meat markets using a modified stochastic equilibrium displacement model originally developed by Dhoubhadel, Azzam, and Stockton. The results found that these subsidies have a minimal effect on meat production levels. Therefore, if a reduced meat sector is desirable then other avenues, such as improved regulation or taxation, should be pursued.
format H2
id RepoSLU9526
institution Swedish University of Agricultural Sciences
language Inglés
publishDate 2016
publishDateSort 2016
publisher SLU/Dept. of Economics
publisherStr SLU/Dept. of Economics
record_format eprints
spelling RepoSLU95262016-09-15T13:29:41Z Big government and your Big Mac : Analyzing the impact of corn and soybean subsidies on US meat markets Chudler, Nadav David feed crops insurance premium subsidies meat production externalities Extensive literature exists regarding the externalities of industrial meat production in the United States. There is also a belief that the growth of these production systems were facilitated by high levels of subsidies for corn and soybean, the primary crops, or byproducts of which are used to feed livestock. This in turn suggests a linkage between feed crop subsidies and the externalities from meat production. Regardless of any impact these subsidies may have had on development of industrial meat production the only subsidies currently of relevance for corn and soybean are for insurance rate premiums. This paper proposes to examine the impact of these subsidies on the US meat markets using a modified stochastic equilibrium displacement model originally developed by Dhoubhadel, Azzam, and Stockton. The results found that these subsidies have a minimal effect on meat production levels. Therefore, if a reduced meat sector is desirable then other avenues, such as improved regulation or taxation, should be pursued. SLU/Dept. of Economics 2016 H2 eng https://stud.epsilon.slu.se/9526/
spellingShingle feed crops
insurance premium subsidies
meat production externalities
Chudler, Nadav David
Big government and your Big Mac : Analyzing the impact of corn and soybean subsidies on US meat markets
title Big government and your Big Mac : Analyzing the impact of corn and soybean subsidies on US meat markets
title_full Big government and your Big Mac : Analyzing the impact of corn and soybean subsidies on US meat markets
title_fullStr Big government and your Big Mac : Analyzing the impact of corn and soybean subsidies on US meat markets
title_full_unstemmed Big government and your Big Mac : Analyzing the impact of corn and soybean subsidies on US meat markets
title_short Big government and your Big Mac : Analyzing the impact of corn and soybean subsidies on US meat markets
title_sort big government and your big mac : analyzing the impact of corn and soybean subsidies on us meat markets
topic feed crops
insurance premium subsidies
meat production externalities