Economic considerations are crucial for livestock producers when deciding whether to adopt new interventions or management strategies. However, research studies often lack consistent, thorough, and well-described economic analyses, making it difficult for stakeholders to make informed decisions. To improve guidance for future economic assessments, economic analysis strategies were reviewed, an example using controlled trial data was performed, and recommendations for future conduct were provided. Partial budgeting was identified as the most pragmatic strategy, as its framework is conducive to assessing the marginal financial impact of a change, such as new interventions or management strategies evaluated in a randomized controlled trial. To demonstrate this approach, a partial budget was applied to existing data from a commercial beef feedlot trial. This method accounted for variability in animal performance, which can translate to economic variability, and provided a clear picture of the methodology and economic impact of different interventions. For future economic research from trial data, authors should strive for transparency by clearly describing the type of economic assessment, the sources of all parameters, the methodology, and analytical strategies. By providing improved guidance and reporting practices, researchers can offer valuable economic insights, ultimately helping stakeholders make better, economically sound decisions.

Read the full article in the Journal of Animal Science.