Economics of stocker production.

The beef cattle industry, like any industry, is subject to economic signals to increase or decrease production according to short-run and long-run market conditions. Profitable stocker production is the result of careful matching of economic conditions to alternative animal production systems combined with sound animal and business management. The economics of stocker production are driven by the feeder cattle price-weight relation that combines broad market signals about how much production is needed with complex and subtle signals about how that production should be accomplished. The result is a dynamic set of values of gain that direct producers to adjust the level, type, and timing of stocker production according to changing market conditions.