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A Model For The Short-Run Production And Pricing Decisions Of Cooperative Associations

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  • Royer, Jeffrey S.

Abstract

This paper presents a model of a cooperative that pays patronage refunds. The analysis is short-run in nature. Each patron, and the cooperative, has some fixed assets. Decisions on capital structure are assumed to have been made prior to this short-run analysis, and some of these decisions place constraints or impose parameters on the short-run analysis. It is assumed that the objective of the cooperative is to maximize total profits of all member patrons. The purpose of this paper is normative: to present an explanation of how a cooperative should operate if its objective is the one assumed here. The paper presents aTositive analysis of any cooperative that has as its objective the one assumed.

Suggested Citation

  • Royer, Jeffrey S., 1981. "A Model For The Short-Run Production And Pricing Decisions Of Cooperative Associations," 1981 Annual Meeting, July 26-29, Clemson, South Carolina 279301, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea81:279301
    DOI: 10.22004/ag.econ.279301
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    Keywords

    Demand and Price Analysis;

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