Document Type

Article

Journal/Book Title/Conference

Economics Research Institute Study Paper

Volume

24

Publisher

Utah State University Department of Economics

Publication Date

1997

Rights

Copyright for this work is held by the author. Transmission or reproduction of materials protected by copyright beyond that allowed by fair use requires the written permission of the copyright owners. Works not in the public domain cannot be commercially exploited without permission of the copyright owner. Responsibility for any use rests exclusively with the user. For more information contact the Institutional Repository Librarian at digitalcommons@usu.edu.

First Page

1

Last Page

26

Abstract

Utilizing weekly data from Cattle-Fax, the speed of adjustment for prices of six cattle classes and twelve marketing areas were determined using the short-run correlation procedure. The number of optimal lags were identified using the Akaike final prediction criterion. Overall, there was no speed of adjustment adhered to by all cattle classes and regions. The speed of adjustment varied depending on the origin of the shock, the region receiving the shock, and the cattle class. Overall, varying arbitrage opportunities for exploiting price disequilibria existed for all cattle classes.

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