Data/hora: 13/06/2024 17:51:44

Provedor de dados: 	31	
País: 	United States	
Título: 	COOPERATIVE FORMATION AND FINANCIAL CONTRACTING IN AGRICULTURAL MARKETS	
Autores: 	Hueth,   Brent; Marcoul,   Philippe; Ginder,   Roger G.	
Data: 	2003-12-17	
Ano: 	2003	
Palavras-chave: 	Cooperative; Corporate financing; Moral hazard; Vertical integration; Agribusiness.	
Resumo: 	Cooperative formation in agriculture sometimes occurs in response to the exit of a private firm and typically requires substantial equity investment by participating farmers. What economic rationale can explain why farmers are willing to contribute capital to an activity that (apparently) fails to attract non-farm or "private" investment? We hypothesize that farm capital is high cost, relative to that provided by private entrepreneurs (or in other words, that there is a degree of asset fixity in farm capital) but that it engenders greater organizational commitment-which is particularly important when expected market returns are low-on the part of producers. This commitment arises from the indirect incentive properties associated with at-risk capital. We identify market environments where these incentives are necessary for firm survival and interpret the efficient financial contract in this context as a "cooperative."	
Tipo: 	Working or Discussion Paper	
Idioma: 	Inglês	
Identificador: 	11377

http://purl.umn.edu/18478	
Editor: 	AgEcon Search	
Relação: 	Iowa State University&gt;Center for Agricultural and Rural Development&gt;CARD Working Paper Series

CARD Working Paper 03-WP 349	
Formato: 	18

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