Cause And Countermeasures Of Hog Price Fluctuations

China is one of the largest countries by the producing of hogs and theconsumption. In recent years, the price of live pig fluctuated frequently; hog pricefluctuations affect not only the pig farmers’ enthusiasm but also affected China’s CPIprice index. This thesis choose pig’s spot market price as research object, aimed atthis year’s pig price fluctuations for research perspective, through contrasting both atdomestic and abroad research to find research points, expand the thesis according tothe research method that status problem made--causes analysis--policy recommends:first from three angles which are production, consumption, and government toanalysis the status and the features of pig price fluctuations, uses latest data to reflectthe real pig price fluctuations, second reveals in-depth factors and causes whicheffects the pig price fluctuations, Finally issue the constructive suggestions. Thispaper argues that the price fluctuation of live pig formed mainly based on two aspects:on the one hand, according to the theory of demand, cost of pig-breeding fluctuationshave an impact on price volatility, on the other hand, according to the Cobweb theory,hog production cycle, and the lag production decisions of farmers will also have animpact on price volatility. This paper seeks to provide references for hog farmers andgovernment: pig farmers can refer to understand why the price fluctuation of live pig,can scientifically make breeding decisions and improve policy, effectively avoid therisk of price fluctuation of live pig; the government can more complete understandingof factors affecting current price fluctuation of live pig and science to guide Chinesepig market’s development, it also contributes to stabilize the price fluctuation of livepig in China.