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Some like to join, others to deliver. An econometric analysis of farmers' relationships with agricultural co-operatives

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  • Pascucci, Stefano
  • Gardebroek, Cornelis

Abstract

In many European countries, farmers are a member of a processing or marketing co-operative, and most of these farmers also deliver their products to that co-operative. However, an extensive dataset of Italian farmers shows that not all members deliver to their co-op, and that there are also non-members that deliver. Using theoretical arguments from the New Institutional Economics literature, a bivariate probit model is estimated to explain co-op membership and delivery jointly. Results show that membership and delivering are indeed related, but also that different factors influence farmers’ decisions on membership and delivery.

Suggested Citation

  • Pascucci, Stefano & Gardebroek, Cornelis, 2010. "Some like to join, others to deliver. An econometric analysis of farmers' relationships with agricultural co-operatives," 114th Seminar, April 15-16, 2010, Berlin, Germany 61078, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaa114:61078
    DOI: 10.22004/ag.econ.61078
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    1. Claude Ménard, 2004. "The Economics of Hybrid Organizations," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 160(3), pages 345-376, September.
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    Keywords

    Agricultural and Food Policy; Farm Management; Land Economics/Use;
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