The Spatio-temporal Impact of Drought on Local and Regional Feeder Cattle Inventories

Recent droughts have demonstrated the sensitivity of cattle inventories to adverse weather. Statelevel first-differenced panel regressions are used to estimate the impact of drought conditions on rancher decisions regarding herd size. Results provide insights into the recovery time associated with and degree of rebuilding cattle herds following a drought. Regional cattle inventory responses to weather are shown to be asymmetric as drought conditions have substantial short-run impacts on inventory which are difficult to rebuild.