Food safety has become one of the most visible and emotional issues confronting affluent societies. Of particular concern is the adulteration of the food supply by foreign chemicals. Even though the incidence of drug residues in foods of animal origin remains low, and the human health risks associated with these residues are small compared to other food-related hazards, the public's attention has focused on the residue issue, and it is unlikely that this will change in the near future. Growing consumer health-related concerns over residues appear to be major factors contributing to stagnant beef markets in the U.S. In a national survey conducted by the Food Marketing Institute, an independent organization representing U.S. food marketers, the number 1 concern of consumers pertained to residues in meat. Other health-related issues such as cholesterol and saturated fat content were perceived by the public as less threatening than residues (Food Marketing Institute 1988). Representing this consumer movement for residue-free foods are well funded and organized consumer advocacy groups. These organizations direct substantial lobbying efforts at national policy makers and play an influential role in establishing food and drug regulations. Adverse public perception surrounding the drug residue issue has affected U.S. markets for red meat both domestically and abroad resulting in embargoes and other non-tariff trade barriers. From an economic standpoint, the marketing of residue-contaminated animals can result in substantial monitary losses. Such losses result from marketing delays which are triggered by a residue violation. No further marketing of animals can take place until a representative number of animals have been tested for residues and determined to be nonviolative.