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Rent Extraction and the Survival of the Agricultural Production Cooperative

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  • Andrew McGregor

Abstract

During the last twenty years there has been a proliferation of production cooperatives in the agricultural sector of low income countries. This paper examines the prospects for this type of firm in light of their poor historical record. A theoretical model is presented that shows the extraction of scarcity rents is a necessary condition for survival. Several case studies examined are found to be empirically consistent with the model. It is shown that policies can be devised for the extraction of rents.

Suggested Citation

  • Andrew McGregor, 1977. "Rent Extraction and the Survival of the Agricultural Production Cooperative," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 59(3), pages 478-488.
    • Handle: RePEc:oup:ajagec:v:59:y:1977:i:3:p:478-488.
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    File URL: http://hdl.handle.net/10.2307/1239649
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    Cited by:

    1. Richard E. Caves & Bruce C. Petersen, 1986. "Cooperatives' shares in farm industries: Organizational and policy factors," Agribusiness, John Wiley & Sons, Ltd., vol. 2(1), pages 1-19.
    2. Jacques DEFOURNY, 1983. "L'autofinancement Des CoopÉRatives De Travailleurs et la ThÉOrie ÉConomique ()," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 54(2), pages 201-224, April.
    3. Catheryn C. OBERN & Steven D. JONES, 1981. "Critical Factors Affecting Agricultural Production Cooperatives," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 52(3), pages 317-349, September.

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