Research payoffs from quality improvement : the case of backfat depth in pigs

Document Type

Journal article

Source Publication

Journal of Agricultural Economics

Publication Date

1-1-1991

Volume

42

Issue

1

First Page

66

Last Page

76

Publisher

Wiley-Blackwell Publishing Ltd.

Abstract

Closed-market models embodying alternative specifications of supply, demand and substitutability conditions are developed to measure the economic benefits from a research-caused improvement in quality. The models are applied to the estimation of the economic benefits from reducing backfat depth in Australian pork. A major finding is that the Australian pig industry has the potential to derive a gross research benefit of about $7 million per annum from a 10% reduction in backfat thickness in pigs. Under each of the chosen specifications, the larger share of this gain accrues to pig producers. There could be additional social gains as a result of health benefits not incorporated in consumers' valuations.

DOI

10.1111/j.1477-9552.1991.tb00333.x

Print ISSN

0021857X

E-ISSN

14779552

Publisher Statement

Copyright © 1991, Wiley Blackwell. All rights reserved. Access to external full text or publisher's version may require subscription.

Full-text Version

Publisher’s Version

Language

English

Recommended Citation

Voon, J. P., & Edwards, G. W. (1991). Research payoffs from quality improvement: The case of backfat depth in pigs. Journal of Agricultural Economics, 42(1), 66-76. doi: 10.1111/j.1477-9552.1991.tb00333.x

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