Institute of Agricultural Ecomonics, Swiss Federal Institute of Technology, Zurich

simulation of the milk and meat markets up until 2011

On the supply side, there is a very close relationship between the milk and meat markets. This means that changes in basic conditions on the milk market have an impact on both the milk and the meat market. A change in supply interacts with consumer demand to generate new market balances and prices, whereby any adjustments in foreign trade and border controls also exert an influence. Market development for milk, beef and veal up until 2011 is forecast using a dynamic simulation model. The development of the price for milk, combined with market support, is decisive for the competitivity of dairy products, whereby, the various preferences in demand both at home and abroad have a significant impact. In the case of the meat market however, price developments are dictated not only by domestic production but, in particular, by adjustments in market access.

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