Hanho Kim

Dynamic Adjustment in Vertically Linked Markets: The Case of the U.S. Beef Industry

This duality model is used to investigate the dynamic structure of vertically linked sectors of the U.S. beef industry. The model employed allows for explicit hypothesis tests of the adjustment process and technology change. Vertically related sectors of the beef industry are included to emulate the organizational structure of the industry. Results suggest that the cow-calf, feedlot, and beef processing sectors of the U.S. industry face significant adjustment costs. Another important finding is that imports may provide a way for the U.S. beef industry to adjust to short-run market changes. Copyright 1997, Oxford University Press.

Agricultural Policy Reform and Structural Adjustment in Korea and Japan

Despite many common features in agricultural sector, Korea and Japan have passed through quite different paths of structural adjustment. An important consequence of the different structural adjustment paths is full-time vs. part-time based farming system. As far as policy reforms are concerned, full-time based Korean agriculture has much more barriers to smooth policy reform mainly due to the income-related problems. With high level of off-farm income, farm household income problem is not a great concern to Japan. In addition to the income problem, other barriers to smooth policy reform in Korea are pointed out and discussed.

Dynamic adjustment in the US beef market with imports

This paper hypothesizes that while there are important qualitative differences in domestic beef and imported beef, beef and cattle imports also represent attempts by the US beef processing and wholesale sector to adjust to short-run changes in supply and demand. Dynamic production theory is applied to the problem to test for this adjustment process, and presents a production theory approach to meat trade that has previously been included in demand functions. The results of this analysis suggest that the method used provides a reasonable and appropriate representation of the import behavior of the US processing and wholesale beef sector.