Explaining Plant Exit in the U.S. Meat and Poultry Industries

Muth Mary K, Michael Wohlgenant (), Karns Shawn A and Anderson Donald W
Additional contact information
Muth Mary K: Research Triangle Institute, Research Triangle ParK, North Carolina, USA
Karns Shawn A: Research Triangle Institute, Research Triangle ParK, North Carolina, USA
Anderson Donald W: Research Triangle Institute, Research Triangle ParK, North Carolina, USA

Journal of Agricultural & Food Industrial Organization, 2003, vol. 1, issue 1, 23

Abstract: Recent U.S. pathogen reduction and HACCP food safety regulations, which increased the costs of producing meat and poultry products, may have affected the rate of plant exit during the 1996 to early 2000 time period over which the regulations were implemented. We estimate and compare probit models for U.S. federally inspected meat slaughter (920 plants), poultry slaughter (280 plants), and meat and poultry processing-only (4,300 plants) plants to determine which factors most contributed to the probability of plant exit. The factors we consider include plant-level, company-level, and regional-level characteristics and regional supply conditions. Although plant size affected the probability of exit for slaughter plants, it did not affect exit for processing-only plants. Other variables, such as measures of market structure and competition, have different effects for each of the industries.

Date: 2003
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://doi.org/10.2202/1542-0485.1022 (text/html)
For access to full text, subscription to the journal or payment for the individual article is required.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bpj:bjafio:v:1:y:2003:i:1:n:7

Ordering information: This journal article can be ordered from
https://www.degruyter.com/journal/key/jafio/html

DOI: 10.2202/1542-0485.1022

Access Statistics for this article

Journal of Agricultural & Food Industrial Organization is currently edited by Azzeddine Azzam

More articles in Journal of Agricultural & Food Industrial Organization from De Gruyter
Bibliographic data for series maintained by Peter Golla ().