Antitrust Enforcement and Market Manipulation in the Beef Industry: A Case Study

• In Event: Critical Perspectives on State-Corporate Power

Abstract

The In Re: Cattle and Beef Antitrust Litigation (2020) highlights significant antitrust concerns in the U.S. beef industry, where major processors—Tyson Foods, JBS, Cargill, and National Beef—are accused of price-fixing and manipulating market conditions. The case centers on the use of “captive supply” agreements and coordinated slaughter schedules to restrict cattle supply and inflate prices. This paper examines how these practices violate Section One of the Sherman Act, distorting competition and harming consumers. It also explores the ethical and legal implications of corporate dominance in an industry controlled by a few players, and how evolving antitrust enforcement, including DOJ and USDA involvement, addresses these challenges. We invoke Chambliss (1964, 1982, 1993) and Quinney (2002) to argue that this example of corporate crime is a function of structural irregularities in the capital marketplace. Here regulators prefer civil (fines) and administrative sanctions over further intervention in the marketplace.

Authors

• Matthew G. Yeager, Wilfrid Laurier University

• William Calathes, New Jersey City University