IDEAS home Printed from https://ideas.repec.org/p/ags/cudawp/316615.html
   My bibliography  Save this paper

Differential Economic Impact for Cooperative Business Structure: An Application to Farmer-Owned Cooperatives in New York State

Author

Listed:
  • Schmit, T.M.
  • Tamarkin, F.C
  • Seversorn, R.M

Abstract

A comprehensive economic impact assessment using input-output methods is developed to account for localized spending activities and distributions of residual earning to member owners by cooperatives. The framework is applied to agricultural supply, service, marketing, farm credit, and rural electric cooperatives doing business in New York State. Detailed spending patterns from cooperative survey data reveal that agricultural cooperatives in the state have higher levels of localized spending when compared to average industry firms using aggregate industry data and equivalent levels of direct industry output. Accordingly, total economic impacts for these cooperatives; i.e., the direct, indirect, and induced effects, are larger. Overall, agricultural cooperatives contribute 7%, 3%, and 10% more total impact with respect to jobs, labor income, and output in New York State. Limitations to the enumeration of total impact to local economies are discussed and directions for future research that encompass more than current economic impacts are proposed

Suggested Citation

  • Schmit, T.M. & Tamarkin, F.C & Seversorn, R.M, 2021. "Differential Economic Impact for Cooperative Business Structure: An Application to Farmer-Owned Cooperatives in New York State," Working Papers 316615, Cornell University, Department of Applied Economics and Management.
    • Handle: RePEc:ags:cudawp:316615
    DOI: 10.22004/ag.econ.316615
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/316615/files/WP%202021-19%20Economic%20Impact.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.316615?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Bhuyan, Sanjib & Leistritz, F. Larry, 1996. "Economic Impacts of Cooperatives in North Dakota, 1996," Staff Papers 121043, North Dakota State University, Department of Agribusiness and Applied Economics.
    2. Uzea, F. Nicoleta, 2014. "Methodologies to Measure the Economic Impact of Cooperatives: A Critical Review," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 42(2), pages 1-22.
    3. Fulton, Murray E. & Ketilson, Lou Hammond, 1992. "The Role of Cooperatives in Communities: Examples from Saskatchewan," Journal of Agricultural Cooperation, National Council of Farmer Cooperatives, vol. 7, pages 1-28.
    4. Park, John L. & Baros, Jonathan R. & Dudensing, Rebekka M. & Murch, Matthew P., 2011. "Communicating the Value of Texas Cooperatives," Journal of Food Distribution Research, Food Distribution Research Society, vol. 42(1), pages 1-1, March.
    5. Schmit, Todd M. & Jablonski, Becca B.R. & Bonanno, Alessandro & Johnson, Thomas G., 2021. "Measuring stocks of community wealth and their association with food systems efforts in rural and urban places," Food Policy, Elsevier, vol. 102(C).
    6. Folsom, Joe, 2003. "Measuring the Economic Impact of Cooperatives in Minnesota," Research Reports 280088, United States Department of Agriculture, Rural Development.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zeuli, Kimberly A. & Deller, Steven C., 2007. "Measuring the Local Economic Impact of Cooperatives," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 35(1), pages 1-17.
    2. Hueth, Brent & Marcoul, Philippe, 2007. "The Cooperative Firm as Monitored Credit," Staff Paper Series 508, University of Wisconsin, Agricultural and Applied Economics.
    3. Folsom, Joe, 2003. "Measuring the Economic Impact of Cooperatives in Minnesota," Research Reports 280088, United States Department of Agriculture, Rural Development.
    4. Kashyap, Pratyoosh & Jablonski, Becca B.R. & Bauman, Allison, 2024. "Exploring the relationships among stocks of community wealth, state farm to school policies, and the intensity of farm to school activities," Food Policy, Elsevier, vol. 122(C).
    5. Jessica Gordon Nembhard, 2014. "Community-Based Asset Building and Community Wealth," The Review of Black Political Economy, Springer;National Economic Association, vol. 41(2), pages 101-117, June.
    6. Zeuli, Kimberly & Lawless, Greg & Deller, Steven & Cropp, Robert & Hughes, Will, 2003. "Measuring the Economic Impact of Cooperatives: Results from Wisconsin," Research Reports 280085, United States Department of Agriculture, Rural Development.
    7. Ortmann, Gerald F. & King, Robert P., 2006. "Small-Scale Farmers in South Africa: Can Agricultural Cooperatives Facilitate Access to Input and Product Markets?," Staff Papers 13930, University of Minnesota, Department of Applied Economics.
    8. Tiffanie F. Stone & Erin L. Huckins & Eliana C. Hornbuckle & Janette R. Thompson & Katherine Dentzman, 2024. "Equity and resilience in local urban food systems: a case study," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 41(3), pages 1239-1256, September.
    9. Mateus De Carvalho Reis Neves & Mateus De Carvalho Reis Neves & Felipe De Figueiredo Silva & Carlos Otávio Freitas & Marcelo José Braga, 2018. "The Shadow Price Of Cooperative Membership On Agriculture In The Brazilian South And Southeast Regions," Anais do XLIV Encontro Nacional de Economia [Proceedings of the 44th Brazilian Economics Meeting] 191, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].
    10. Jablonski, Becca B.R. & Pender, John & Bauman, Allison & Rupasingha, Anil & Clark, Jill K., 2023. "Stocks of Wealth and the Value-Added Food and Agriculture Sector," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 48(3), September.
    11. Neves, Mateus C R & Silva, Felipe & Freitas, Carlos Otávio & Braga, Marcelo J., 2017. "The impact of Cooperative Membership on farm income," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 259196, Agricultural and Applied Economics Association.
    12. Francesco Sarracino & Luca Fumarco, 2020. "Assessing the Non-financial Outcomes of Social Enterprises in Luxembourg," Journal of Business Ethics, Springer, vol. 165(3), pages 425-451, September.
    13. Sarracino, Francesco & Gosset, Andrea, 2015. "The non-economic outcomes of social entrepreneurship in Luxembourg," MPRA Paper 69347, University Library of Munich, Germany.
    14. Kashyap, Pratyoosh & Jablonski, Becca B.R. & Bauman, Allison, 2022. "Exploring the Relationship between Stocks of Community Wealth and the Intensity of Farm to School Program Activities," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322167, Agricultural and Applied Economics Association.
    15. Ortmann, Gerald F. & King, Robert P., 2007. "Agricultural cooperatives II: Can they facilitate access of small-scale farmers in South Africa to input and product markets?," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 46(2), pages 1-26, June.
    16. Clymer, Amanda M. & Briggeman, Brian C. & Leatherman, John C., 2020. "Estimating the Value of Local Ownership to a State’s Economy: The Case of Kansas Farmer Cooperatives," Journal of Cooperatives, NCERA-210, vol. 35.
    17. Catherine Brinkley & Marjory Anne Visser, 2022. "Socioeconomic and Environmental Indicators for Rural Communities: Bridging the Scholarly and Practice Gap," Economic Development Quarterly, , vol. 36(2), pages 75-91, May.
    18. Mavenga, Fortunate & Olfert, M. Rose, 2012. "The Role of Credit Unions in Rural Communities in Canada," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 40(1), pages 1-29.
    19. Antti Talonen & Iiro Jussila & Hannu Saarijärvi & Timo Rintamäki, 2016. "Consumer cooperatives: uncovering the value potential of customer ownership," AMS Review, Springer;Academy of Marketing Science, vol. 6(3), pages 142-156, December.
    20. Thiago de Carvalho Verano & Carlos de Melo e Silva Neto & Gabriel da Silva Medina, 2023. "Family Farmers in Short and Long Marketing Channels: Lessons for Rural Development in Goiás, Brazil," Logistics, MDPI, vol. 7(4), pages 1-21, October.

    More about this item

    Keywords

    Agricultural and Food Policy;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:cudawp:316615. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/dacorus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.