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A Contract on Hogs: A Decision Case

Scott M. Swinton and Laura L. Martin
Review of Agricultural Economics
Vol. 19, No. 1 (Spring - Summer, 1997), pp. 207-218
Stable URL: http://www.jstor.org/stable/1349689
Page Count: 12
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A Contract on Hogs: A Decision Case
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Abstract

The decision case "A Contract on Hogs" describes a Michigan farm couple's decision about whether to accept a contract to finish hogs for a larger company. Having given up raising their own hogs in a free-range, pasture setting, the Bishops were offered a contract under which they would build a swine confinement building and feed out three sets of hogs a year. The contractor would provide feeder pigs, feed, and veterinary services. The case provides a vehicle for discussing production contracts, investment analysis, and local environmental and zoning issues associated with siting intensive livestock production facilities.

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