Monday, January 25, 2010

Chapter 6

What are "captive supplies" of cattle?
"Captive supplies" of cattle are cattle owned by meat-packing companies. There are used, according to the companies, as a "means of achieving greater efficiency" (Page 142); independent ranchers see a different motive: to control the market. The prices of captive supplies are usually kept secret; thus, to control prices, the meat-packing company will flood the market with the cattle. At times, as much as 80% of the cattle in the market are captive supplies.

Why would small independent cattle ranchers be afraid to speak out against the practices of large meat processors?
Small independent cattle ranchers are afraid to protest against the practices of large meat processors as they alone would not have sufficient power to have any major impact on the industry; thus, speaking out against large meat processors would only result in the loss of bidding contracts, possibly requiring a change of occupation to sustain oneself.

Which type of cattle rancher is currently facing the greatest economic difficulty?
The cattle rancher that puts most of his or her energy into being a rancher, who has no sources of income to fall back on, and works on another person's land is facing the greatest economic difficulty: he or she is at the mercy of meat processing companies as they are the ones who determine the price and whether or not the rancher sells anything.

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