Industrialization and Consolidation in the U.S. Food Sector: Implications for Competition and Welfare

Good sources for information on recent developments in food-market structure include Barkema, Drabenstott, and Welch; U.S. Department of Agriculture (1996b), and Rogers. My objective is not to add to this literature, but, rather, to consider what we have learned as a profession about the rapid consolidation in food processing and distribution. What are its implications for market power, economic efficiency, and the distribution of economic welfare among producers, consumers, and marketers?

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