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2012-027: Multiplier Effect in the Canadian Beef Industry

Researcher: Suren Kulshreshtha

Funded: $10,000

Number of years: 1

Economic systems are getting increasingly complex over time. Decisions taken by one individual or firm affect many other individuals or agencies than what is obvious through casual observation. The Canadian cattle sector operates under such a complex economic system. Here, actions taken by producers and other economic agents impact other members of society.

This project studied the interactions and impacts of the Canadian cattle sector regionally and nationally.

1) Western Canada cattle production represents $24 billion in sales and contributors $8.8 billion in regional GDP in 2011. It also employs 127,000 workers.


Live cattle production farms contribute to the economy not only through direct impacts on the national / regional economy, but they also generate additional impacts through secondary mechanisms – indirect and induced. For Canada as a whole, the cattle sector contributes $13.2 billion to the national gross domestic product, and is directly or indirectly associated with creation of 228,811 fulltime equivalent jobs. If production in the beef cattle sector increases by $1, output of all goods and services in the economy increase by $4.2. For every job created in the industry, another 3.56 jobs are created elsewhere. Finally, for every $1 of income received by producers, another $2.08 is created elsewhere.

More information can be found here:

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