Economics Research Institute Study Paper
Utah State University Department of Economics
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Theoretical price distributions and their implications for efficient and inefficient primary and retail markets are outlined. Utilizing time series data from Cattle-Fax, an empirical investigation for twelve primary markets of six cattle classes encompassing nineteen states is carried out. The empirical results indicated that the primary cattle markets were characterized by negatively skewed but peaked price distributions implying monopsonistically competitive price equilibria over time, regardless of the cattle class and region. The market structure was influenced by availability of price information, the type of cattle, weight, and geographical location.
Muwanga, Gertrude S. and Snyder, Donald L., "Cattle Price Distribution and Implications for Market Structure" (1997). Economic Research Institute Study Papers. Paper 135.