Farm Animal Enclosure Requirements, Industry Concentration, and Supply Chain Dynamics

Daniel P. Scheitrum, K. Aleks Schaefer

Research output: Contribution to journalArticlepeer-review

1 Scopus citations


In this paper, we draw on microeconomic theory to show that farm animal enclosure regulations can and have lead to increased farm-level concentration in affected industries in the U.S. The desirability of this increased concentration is a function of modern industry structures. Farm animal enclosure requirements can push traditional “short” supply chains like eggs toward vertical integration. However, vertically integrated systems (e.g., broiler chickens and hogs) may benefit from the induced farm-level concentration by increasing bargaining power among contract farmers. In all systems, the increased farm-level concentration induced by enclosure requirements may lead to greater ability to solve future collective action problems like wastewater pollution and antimicrobial resistance.

Original languageEnglish (US)
Article number709359
JournalFrontiers in Animal Science
StatePublished - 2021


  • animal welfare
  • anticompetitive
  • housing requirements
  • market concentration
  • market power

ASJC Scopus subject areas

  • Animal Science and Zoology


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