Dominant enterprise size in the swine production industry

Paul N. Wilson, Vernon R. Eidman

Research output: Contribution to journalArticle

5 Scopus citations

Abstract

Dominant swine enterprise size may be determined by the geographic location of the production unit and the risk attitudes of the producer. Distributions of after-tax net revenues for thirteen swine production units in three subregions of the Corn Belt are generated from empirical data gathered from 1, 181 swine enterprises. Stochastic dominance with respect to a function is used to rank these distributions for five Arrow-Pratt intervals. Western swine production units stochastically dominate units in the eastern and southern subregions. Risk-averse producers prefer smaller operations, while risk-loving managers prefer relatively large-scale swine enterprises.

Original languageEnglish (US)
Pages (from-to)279-288
Number of pages10
JournalAmerican Journal of Agricultural Economics
Volume67
Issue number2
DOIs
StatePublished - May 1985

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Keywords

  • Risk
  • Stochastic dominance
  • Structure
  • Swine

ASJC Scopus subject areas

  • Agricultural and Biological Sciences (miscellaneous)
  • Economics and Econometrics

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