The Impacts of Quality on Cash Fed Cattle Prices

Rodney Jones, Ted Schroeder, James Mintert and Frank Brazle

Journal of Agricultural and Applied Economics, 1992, vol. 24, issue 2, 149-162

Abstract: Quality factors affecting fed cattle prices were examined during a six-month period in southwestern Kansas. Transaction prices were significantly affected by the percentage of cattle expected to grade choice times the choice-to-select carcass price spread, finish uniformity, average weight, dressing percentage, breed, number of cattle purchased by a single packer on a given day, the packer, the feedyard, the day-of-the-week the cattle were sold, and the number of bids received. Asking prices were significantly affected by many of the same factors. Asking and transaction prices reflected approximately 25 percent of the packer value differentials for expected carcass quality grades.

Date: 1992
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