WHOLESALE DEMAND FOR USDA QUALITY GRADED BOXED BEEF AND EFFECTS OF SEASONALITY

Abstract

This study quantifies the differential in demand between different USDA quality grades of beef and the interaction between quality graded beef and other meats. We provide estimates of meat retailer own and cross price demand elasticities for USDA Choice and Select boxed beef. Results indicate that meat retailers have more elastic demand for lower quality graded beef. Seasonal analysis indicates demand for both beef quality grades becomes highly price inelastic during the summer "cook-out" months. The two beef quality grades are strong substitutes during the fall and winter. However, Select beef is not a substitute for Choice beef in the spring and summer.beef, chicken, demand, pork, quality, USDA Choice, USDA Select, wholesale, Demand and Price Analysis,