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DETERMINANTS OF PROFIT VARIABILITY IN FED CATTLE GRID PRICING

R. Allen McDonald and Ted Schroeder

No 36514, 2000 Annual Meeting, June 29-July 1, 2000, Vancouver, British Columbia from Western Agricultural Economics Association

Abstract: This study determines the relative impacts of price, cattle quality, and feeding performance factors on profit per head for fed cattle marketed via a grid structure. Two different data sets of cattle that were marketed in two different grid pricing systems are used in the analysis with comparisons of results made between grids. Grid base price and feeder cattle price are the most important determinants of profit over time in both grids. However, only considering non-price variables, the cumulative quality of cattle in a pen is the most important profit determinant followed by average daily gain in one grid and feed efficiency in the other.

Keywords: Livestock; Production/Industries (search for similar items in EconPapers)
Date: 2000
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Persistent link: https://EconPapers.repec.org/RePEc:ags:waeava:36514

DOI: 10.22004/ag.econ.36514

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