Economic evaluation of neonatal health protection programs for cattle.
OBJECTIVE
To develop an economic tool that can be used to help cattle producers evaluate benefits of neonatal health programs.


METHODS
Computer simulation of a multiple-year spreadsheet model, using economic and production variables.


METHODS
Records for a university research farm beef herd.


METHODS
Data from the university research farm beef herd for each year from 1990 to 1995 were evaluated to determine economic benefits for the cow-calf enterprise that would result from a decrease in morbidity and mortality. A baseline economic evaluation of returns to variable costs was performed, using actual production and marketing information. Actual economic performance was contrasted with a projected simulation in which morbidity and mortality were decreased. Sensitivity analysis for the simulation model assessment of a neonatal health program was also performed.


RESULTS
Mean-per-cow increase in net income for the herd during the 6-year period for morbidity and mortality reductions of 20, 40, and 60% was $7.44, $14.93, and $22.42, respectively. Sensitivity analysis revealed that net income per cow was not sensitive to errors in projections of morbidity and mortality.


CONCLUSIONS
Identifying potential economic benefits for implementing a neonatal health plan and quantifying the costs to implement each component of the plan can be used by veterinarians and their clients when formulating a proactive strategy to provide the greatest potential for economic reward.
Larson
R L
RL
Department of Medicine and Surgery, College of Veterinary Medicine, University of Missouri, Columbia 65211, USA.
Pierce
V L
VL
Randle
R F
RF
D000818:Animals; D000831:Animals, Newborn; D002417:Cattle; D002418:Cattle Diseases / Q000191:economics* / Q000453:epidemiology / Q000517:prevention & control*; D003198:Computer Simulation; D005069:Evaluation Studies as Topic; D005260:Female; D018803:Models, Economic; D009017:Morbidity; D011314:Preventive Health Services / Q000191:economics; D011996:Records / Q000662:veterinary