A PREHEDGING STRATEGY FOR THE FEEDLOT OPERATION

During recent years, the feeder cattle industry has experienced financial instability. This paper provides a possible marketing strategy that may help reduce this financial instability by providing a Prehedging Strategy for the feedlot operator. The Prehedging Strategy establishes a dynamic hedge on the major factors of production of the feed lot operator and is shown to provide higher average returns and lower financial risk.

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Year of publication:	1981
Authors:	Spahr, Ronald W. ; Sawaya, William J.
Published in:	Western Journal of Agricultural Economics. - Western Agricultural Economics Association - WAEA. - Vol. 06.1981, 01
Publisher:	Western Agricultural Economics Association - WAEA
Subject:	Livestock Production/Industries \| Marketing

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Extent:	application/pdf
Type of publication:	Article
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005220570