Abstract
A case of Bovine Spongiform Encephalopathy (BSE) was found on December, 2003 in the United States, which affected offshore and domestic demands for US beef. This study evaluates the effects of the BSE outbreak on the security values of the US agribusiness and food processing firms, using an event study. Empirical results indicate that the beef industry was significantly, negatively affected, but other meat industries benefited significantly. For the sectors not immediately involved with beef products, the effects were small or negligible.
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