Journal of Agricultural and Resource Economics (Aug 2007)

An Economic Analysis of Genetic Information: Leptin Genotyping in Fed Cattle

  • Eric A. DeVuyst,
  • Jared R. Bullinger,
  • Marc L. Bauer,
  • Paul T. Berg,
  • Daniel M. Larson

DOI
https://doi.org/10.22004/ag.econ.8644
Journal volume & issue
Vol. 32, no. 2
pp. 291 – 305

Abstract

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A polymorphism in the leptin gene is associated with fat deposition. Since fed cattle are often priced on a grid that considers yield and quality grades, fat deposition is an important factor in profitability. Using data from 590 crossbred steers and heifers, we simulate carcass traits to various days-on-feed and compute the associated profit under three price grids. Results indicate that leptin genotype does affect value by as much as $48 per head but has little impact on days-on-feed. Given current commercial testing fees of $40-$50 per sample, genotyping of feeder cattle appears to break even at best.

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