How Climate Factors Influenced the Spatial Allocation of and Returns to Texas Cattle Breeds

A multivariate binary choice model is used to examine the climate effects on cattle breed selection across Texas counties. Angus, Brangus, and Brahman are considered in the model. Results suggest that it is more efficient to estimate the binary choice equations jointly than separately. Counties having higher summer temperatures are more likely to choose Brahman and warmer winters increase the likelihood of adopting Brangus and Brahman. Angus price imposes positive effects on both Angus and Brangus. In general, the marginal probability of selecting Angus is much higher than that of Brangus or Brahman.