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The Effect of Market Concentration on Lamb Marketing Margins

Published online by Cambridge University Press:  28 April 2015

Gary W. Brester  and
Douglas C. Mustek
Gary W. Brester
Affiliation:
Department of Agricultural Economics, Kansas State University
Douglas C. Mustek
Affiliation:
Sheridan County, Kansas
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Abstract

The national four-firm concentration ratio in the lamb slaughtering and processing industry increased from 55 percent in 1980 to 70 percent in 1992. The effect of increasing lamb packer concentration on lamb marketing margins is examined. A relative price spread (RPS) model for farm-to-wholesale and wholesale-to-retail marketing margins was estimated using three-stage least squares (3SLS). The 3SLS results indicate that increased lamb packer concentration has had relatively small, positive effects on lamb marketing margins.

Keywords

lamb industrymarket concentrationmarketing margins
Type
Articles
Information
Journal of Agricultural and Applied Economics , Volume 27 , Issue 1 , July 1995 , pp. 172 - 183
Copyright
Copyright © Southern Agricultural Economics Association 1995

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