Economic Impacts of Zilmax(R) Adoption in Cattle Feeding
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The Food and Drug Administration recently approved the feeding of Zilmax(R) for cattle in the
United States. This study determines direct net return benefits for early-adopting cattle feeders
and beef packers. In addition, longer-run producer and consumer surplus measures are estimated
as adoption impacts market prices and quantities. After markets adjust, cow-calf producers, cattle
feeders, and consumers will gain from adopting the new technology.