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SOCIAL CAPITAL, TRANSITION IN AGRICULTURE, AND ECONOMIC ORGANISATION: A THEORETICAL PERSPECTIVE AgEcon
Valentinov, Vladislav.
ABSTRACT Social capital is defined as the shared knowledge, trust, and culture, embodied in the structural forms of networks and other stable inter-agent relationships. Social capital has been shown to be more difficult to build than economic capital, and to have greater beneficial effects for community as a whole. The relevance of the social capital concept for transitional agenda is explained by the increasing responsibility of private collective action and grass-roots decisions in managing the business activities in agriculture, since this is required by the more democratic foundations of the market economy. Different forms of business organisations are shown to be differentially but consistently associated with social capital, with the major social...
Tipo: Working or Discussion Paper Palavras-chave: Social capital; Agricultural cooperative; Economic organisation; Sozialkapital; Agrargenossenschaft; Ökonomische Organisation; Agribusiness; Institutional and Behavioral Economics; D23; P31.
Ano: 2003 URL: http://purl.umn.edu/14935
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Institutional Impediments to Groundwater Trading: the case of the Gnangara groundwater system of Western Australia AgEcon
Skurray, James H.; Pandit, Ram; Pannell, David J..
The development of a market in groundwater usage rights can be inhibited by constraints arising from the institutional context. Such impediments may reduce the potential gains from trade and may generate high transaction costs for prospective traders. We analyse the regulations and policies influencing groundwater transfers in a case-study area -- the Gnangara groundwater system around Perth, Western Australia -- and identify significant impediments to a groundwater market. Property rights are found to be conditional, temporary, and vulnerable to amendment. Regulatory approval is required for all transfers. Facilitating infrastructure is lacking, and price information is unavailable. Management area boundaries reflect land ownership and use rather than...
Tipo: Working or Discussion Paper Palavras-chave: Agricultural and Food Policy; Environmental Economics and Policy; Institutional and Behavioral Economics; Land Economics/Use; Political Economy; Public Economics; Resource /Energy Economics and Policy; Q15; Q25; Q28; Q38; Q56; Q57; Q58; D02; R52; H41; H23; H11; D23; D47; D78; H44.
Ano: 2011 URL: http://purl.umn.edu/117825
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Production Inefficiency in Fed Cattle Marketing and the Value of Sorting Pens into Alternative Marketing Groups Using Ultrasound Technology AgEcon
Koontz, Stephen R.; Hoag, Dana L.; Brethour, John R.; Walker, Jodine L..
The cattle industry batch markets animals in pens. Because of this, animals within any one pen can be both underfed and overfed. Thus, there is a production inefficiency associated with batch marketing. We simulate the value of sorting animals through weight and ultrasound measurements from original pens into smaller alternative marketing groups. Sorting exploits the production inefficiency and enables cattle feeding enterprises to avoid meat quality discounts, capture premiums, more efficiently use feed resources, and increase returns. The value of sorting is between $15 and $25 per head, with declining marginal returns as the number of sort groups increases.
Tipo: Journal Article Palavras-chave: Cattle feeding; Production efficiency; Simulation; Sorting; Value-based marketing; Ultrasound; Agribusiness; Livestock Production/Industries; Marketing; Research and Development/Tech Change/Emerging Technologies; C15; D21; D23; Q12.
Ano: 2008 URL: http://purl.umn.edu/47266
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Governance Control Mechanisms in Portuguese Agricultural Credit Cooperatives AgEcon
Cabo, Paula; Rebelo, Joao.
Over the last decade Portuguese Agricultural Credit Cooperatives (ACCs) have increasingly face survival challenges related to their difficulty in gathering equity. The main source of ACCs equity is the net benefit; thus, understanding how ACCs governance can work on correcting bad economic performance is of crucial importance to overcome this constraint. The main objective of this paper is to describe the governance control mechanisms in the ACCs. Five governance mechanisms are identified: board and chairman change (internal mechanisms), central ACC intervention by an agent or by management board replacement and merger. Empirical analysis proved that the internal governance mechanisms activity is not related to the ACC performance. Additionally: (a) ACCs...
Tipo: Conference Paper or Presentation Palavras-chave: Cooperatives; Credit; Governance; Multinominal logit; Agricultural Finance; D23; L29.
Ano: 2005 URL: http://purl.umn.edu/24623
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Understanding Factors That Influence Breeders to Sell Bulls at Performance Tests AgEcon
Lillywhite, Jay M.; Simonsen, J..
Breeders of purebred bulls have multiple avenues to market their bulls, including consignment at public auctions associated with performance tests. Purebred breeders often have the opportunity to withdraw bulls that are eligible to sell in these auctions. We examine sales data from a public auction held in conjunction with a performance bull test in Tucumcari, NM, to gain insights on breeder decisions to withdraw bulls prior to entering the sales ring. Specifically, we use a binary logit model to identify relevant characteristics that affect a breeder’s decision to withdraw a sale eligible bull from the auction.
Tipo: Journal Article Palavras-chave: Breeder decisions; Livestock; Performance bull test; Agribusiness; Demand and Price Analysis; Livestock Production/Industries; Productivity Analysis; C31; D23; D44; D83; M31; Q13.
Ano: 2008 URL: http://purl.umn.edu/47264
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Determinantes dos arranjos contratuais1: O caso da transação produtor-processador de carne bovina no Uruguai AgEcon
Mondelli, Mario P.; Zylbersztajn, Decio.
What are the determinants of the commercial channel choice in the beef producers-processors transactions? The question refers to the coordination and production control problem associated to changes in consumer’s awareness of specific attributes in food products. Two contractual arrangements coexist in this transaction: direct-contracting and broker-induced transactions Transaction Cost Economic offers helpful insights to understand the reason for the development and adaptations of different contractual arrangement moved by transaction cost economizing perspective. The empirical analysis is focused in the Uruguayan beef agro-industrial system. Analysis integrates (i) institutional and organizational changes in the beef industry; (ii) based on the analysis...
Tipo: Journal Article Palavras-chave: Vertical Coordination; Beef System; Contractual arrangement; Transaction Cost Economics; Agribusiness; D23; L14; Q13.
Ano: 2008 URL: http://purl.umn.edu/61237
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Industrialization and Contracting in U.S. Agriculture AgEcon
Ahearn, Mary Clare; Korb, Penelope J.; Banker, David E..
This paper examines the industrialization process of U.S. agriculture by examining the trends in the number of farms, the concentration of production during the last decade, and the dynamics of farm survivability, entry, and exit underlying aggregate statistics. We next examine vertical coordination as part of the industrialization process and highlight contracting in the poultry industry. The analysis provides evidence that production is continuing to be concentrated on a smaller number of farms at a relatively rapid rate, in spite of the stability in the number of farms. Although contracting clearly dominates the broiler industry, it is less prevalent in egg and turkey production, where other forms of vertical coordination are likely established.
Tipo: Journal Article Palavras-chave: Broilers; Contracting; Eggs; Industrialization; Poultry; Structural change; Turkeys; Vertical integration; D23; D40; L11; L14 L22; L23; Q12.
Ano: 2005 URL: http://purl.umn.edu/43511
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Explaining Agro-Industrial Contract Breaches: The Case of Brazilian Tomatoes Processing Industry AgEcon
Zylbersztajn, Decio; Nadalini, Lygia B..
Three hundred small tomato growers located in Brazilian northeast states, supplied a processing industry. In view of the large number of contract hazards and weak enforcement of clauses, managers have decided to move to the Midwest, where a reduced number of larger farmers have been contracted. The industry blamed high transaction costs due to the weak mechanism of public enforcement of property rights. The industry blamed some farmers of selling the product at the market for fresh consumption. Also, farmers blamed the industry for taking advantage of asymmetric information related to quality. This study presents an analysis of contract architecture and an evaluation of effects of transaction costs related variables on the likelihood of contract breaches....
Tipo: Journal Article Palavras-chave: Agro-food governance; Transaction costs and strategy; Agroindustry contracts.; Agribusiness; D23; L23.
Ano: 2007 URL: http://purl.umn.edu/61922
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Factor Content of Agricultural Trade AgEcon
Kancs, d'Artis; Ciaian, Pavel.
Replaced with revised version of paper 08/25/09.
Tipo: Conference Paper or Presentation Palavras-chave: Factor content; Heckscher-Ohlin; Factor abundance; Agricultural trade; International Relations/Trade; F12; F14; D23; Q12; Q17.
Ano: 2008 URL: http://purl.umn.edu/44458
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Trust and Electronic Commerce in the Agrifood Sector. A Trust Model and Experimental Experiences AgEcon
Fritz, Melanie; Hausen, Tobias; Schiefer, Gerhard; Canavari, Maurizio.
Opportunities coming from electronic commerce provide interesting support options for the Agrifood sector. However, due to the product specific information asymmetry in the agrifood sector, the anonymity of the medium creates a lack of trust increasing transaction costs to engage in e-commerce. This paper develops a trust model for electronic commerce in the agrifood industry allowing for the analysis of trust determinants in traditional agrifood transaction relationships and their transfer to appropriate trust determinants in the e-commerce environment. First experimental results validating the suitability of the model to derive appropriate electronic trust generating elements for a given agrifood transaction environment are presented.
Tipo: Conference Paper or Presentation Palavras-chave: Transaction costs; Asymmetric and private information; Laboratory experiment; Electronic commerce; Trust; Agribusiness; D23; D82; C91.
Ano: 2005 URL: http://purl.umn.edu/24742
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Quality Certification by Geographical Indications, Trademarks and Firm Reputation AgEcon
Menapace, Luisa; Moschini, GianCarlo.
We study firm reputation as a mechanism to assure product quality in perfectly competitive markets in a context in which both certification and trademarks are available. Shapiro’s (1983) model of reputation is extended to reflect both collective and firm-specific reputations, and this framework is used to study certification and trademarks for food products with a regional identity, known as geographical indications (GIs). Our model yields two primary results. First, in markets with asymmetric information and moral hazard problems, credible certification schemes reduce the cost of establishing reputation and lead to welfare gains compared to a situation in which only private trademarks are available. Hence, certification improves the ability of reputation...
Tipo: Conference Paper or Presentation Palavras-chave: Asymmetric Information; Certification; Geographical Indications; Quality; Reputation; Environmental Economics and Policy; D23; D82; L14; L15; Q1.
Ano: 2010 URL: http://purl.umn.edu/61778
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Firm Heterogeneity, Contract Enforcement, and the Industry Dynamics of Offshoring AgEcon
Naghavi, Alireza; Ottaviano, Gianmarco I.P..
We develop an endogenous growth model to study the long run consequences of offshoring with firm heterogeneity and incomplete contracts. In so doing, we model offshoring as the geographical fragmentation of a firm’s production chain between a home upstream division and a foreign downstream one. On the positive side, we show that, when contracts are incomplete, the possibility of offshoring has favorable implications for economic growth. Yet, offshoring induced by a higher bargaining power of the upstream division can hamper growth: while there is always a positive correlation between upstream bargaining weight and offshoring activities, there is a non-monotonic relationship between these and growth. Whether offshoring with incomplete contracts also...
Tipo: Working or Discussion Paper Palavras-chave: Offshoring; Heterogeneous Firms; Incomplete Contracts; Growth; Industry Dynamics; Industrial Organization; D23; F23; L23; O31; O43.
Ano: 2009 URL: http://purl.umn.edu/52542
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Role of behavioral and personality instruments in the improvement of team effectiveness in the organization AgEcon
Suman, Elena.
The objective of the paper is to consider the applicability of the behavioral and personality assessment instruments in recruitment, appraisal and development of organization’s teams’ effectiveness. It discusses the application of several widely accepted instruments: extended DiSC, MBTI and Belbin on the basis of the function to build the effective team. Each of the instruments provides insight into the team from the unique perspective and thus helps identifying team’s strong and weak points. This constitutes important learning points for the improvement of the team effectiveness. The paper’s major conclusion is that the combined use of the these instruments improves the quality of the managerial decision making concerning setting up and the developing of...
Tipo: Journal Article Palavras-chave: Effective team; Organization; Management; DiSC; Myers-Briggs Type Indicator.; Labor and Human Capital; D23; M12.
Ano: 2009 URL: http://purl.umn.edu/94586
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Transaktionskosten und Wettbewerbspolitik AgEcon
Busse, Matthias.
The globalisation of the world economy increases international competition among companies. However, not all industries will be affected by the same extent. The degree of globalisation of an industry will be particularly influenced by the level of transaction costs. Low transaction costs will lead to globalised markets, high transaction costs to segmented markets. On the other hand, one has to consider heterogeneous consumer preferences and product differentiation as two additional factors of influence as well as the fact that transaction costs can only be roughly calculated. If these limitations are kept in mind, transaction costs could be of great importance for competition policy in determining the degree of international competition among firms. Die...
Tipo: Working or Discussion Paper Palavras-chave: Transaction costs; Trade; Competition policy; International Relations/Trade; F00; F13; D23.
Ano: 2001 URL: http://purl.umn.edu/26144
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Vertical Integration and Investor Protection in Developing Countries AgEcon
Macchiavello, Rocco.
The industrial organization of developing countries is characterized by the pervasive use of subcontracting arrangements among small, financially constrained firms. This paper asks whether vertical integration relaxes those financial constraints. It shows that vertical integration trades off the benefits of joint liability against the costs of rendering the supply chain more opaque to external investors. In contrast to the commonly held view that pervasive input and capital market imperfections are conducive to vertical integration, the model predicts that the motives for vertical integration are not necessarily higher in developing countries. In particular, vertical integration is more likely to arise at intermediate levels of investor protection and...
Tipo: Working or Discussion Paper Palavras-chave: Vertical Integration; Industrial Development; Financial Constraints; Joint Liability; Trade Credit; Community-based Industries; Financial Economics; O12; O16; D23; G30; L22.
Ano: 2009 URL: http://purl.umn.edu/55285
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Valuing Options in Water Markets: A Laboratory Investigation AgEcon
Hansen, Kristiana; Kaplan, Jonathan D.; Kroll, Stephan.
Risk and reliability dominate water supply discussions in the arid western United States in light of increasing demand and finite, weather-dependant supply. Thus water agencies increasingly turn to contractual mechanisms such as dry-year options to manage supply risk in advance of need. Although a few water agencies across the West have implemented dry-year options, sufficient data for conventional econometric analysis do not yet exist. We thus utilize experimental economics to analyze the effect of annual dry-year options on water markets. We consider how market structure (competitive versus monopsony power) and option contract availability affect water price and allocation within a market and find that realized gains from trade are on average higher when...
Tipo: Working or Discussion Paper Palavras-chave: Resource /Energy Economics and Policy; D23; L22; Q25.
Ano: 2008 URL: http://purl.umn.edu/108722
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An Assessment of the EPA's SO2 Emission Allowance Tracking System AgEcon
Lile, Ronald D.; Bohi, Douglas R.; Burtraw, Dallas.
On November 8, 1996, various Environmental Protection Agency (EPA) officials, scholars and industry representatives gathered at Resources for the Future (RFF) to examine the EPA's method for classifying private SO2 allowance transactions by the Allowance Tracking System (ATS). The one-day workshop at RFF was designed to evaluate how well the EPA's classification scheme within the ATS currently meets the needs of constituencies with a vested interest in the allowance trading system, and to determine if other classifications would be more beneficial. The EPA has limited its collection of information to that which is necessary to ensure compliance with environmental goals. In particular, the EPA has interpreted its mission to be one of minimal interference in...
Tipo: Working or Discussion Paper Palavras-chave: Transaction costs; Regulated industries; Electric utilities; Emissions; Environmental Economics and Policy; D23; D49; H70; K23; L94; Q25.
Ano: 1996 URL: http://purl.umn.edu/10890
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Biological Carbon Sinks: Transaction Costs and Governance AgEcon
van Kooten, G. Cornelis.
Activities that remove CO2 from the atmosphere and store it in forest and agricultural ecosystems can generate CO2-offset credits that can thus substitute for CO2 emissions reduction. Are biological CO2-uptake activities competitive with CO2 offsets from reduced fossil fuel use? In this paper, it is argued that transaction costs impose a formidable obstacle to direct substitution of carbon uptake offsets for emissions reduction in trading schemes, and that separate caps should be set for emissions reduction and sink-related activities. While a tax/subsidy scheme is preferred to emissions trading for incorporating biologically-generated CO2 offsets, contracts that focus on the activity and not the amount of carbon sequestered are most likely to lead to the...
Tipo: Working or Discussion Paper Palavras-chave: Carbon sequestration; Transaction costs; Climate change; Environmental Economics and Policy; Land Economics/Use; Q54; Q23; Q42; H23; D23.
Ano: 2008 URL: http://purl.umn.edu/45505
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Identifying the Factors that Influence Small-scale Farmers’ Transaction Costs in Relation to Seed Acquisition - An ethnographic case study of maize growing smallholders in the Central Valleys of Oaxaca, Mexico AgEcon
Badstue, Lone B..
Using an ethnographic approach, this study explores small-scale farmers’ perceived transaction costs in relation to maize seed acquisition in the Central Valleys of Oaxaca. These farmers have different needs and require seed of diverse maize types with multiple traits in particular combinations. Formal seed distribution has yet to develop in this region and farmers depend mostly on informal seed sources. Issues of information about maize seed, seed transaction negotiation and enforcement are examined from a small-scale farmer perspective through the use of qualitative data. Results show that farmers’ perceived transaction costs are low to negligible in most cases where seed transactions take place locally, and trust is indicated as a factor which serves to...
Tipo: Working or Discussion Paper Palavras-chave: Small-scale farmers; Transaction costs; Seed acquisitions; Maize (Zea mays L.); Informal seed sector; Oaxaca; Institutional and Behavioral Economics; D23; O17; Q12; Z13.
Ano: 2004 URL: http://purl.umn.edu/23800
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Smallholder Farmers and Collective Action: What Determines the Intensity of Participation? AgEcon
Fischer, Elisabeth; Qaim, Matin.
Collective action has become an important strategy for smallholders in developing countries to remain competitive in rapidly changing markets. However, within farmer groups, the commitment of individual members can vary, as the expected net benefits are not the same for all individuals, and opportunities to free-ride exist. Since the benefits of collective action emerge primarily through the exploitation of economies of scale, low participation rates in joint activities may put a serious threat to the success and viability of farmer groups. This article investigates determinants of smallholder participation intensity and free-riding, using the example of banana groups in Kenya. The results suggest that family labor availability and previous benefits that...
Tipo: Working or Discussion Paper Palavras-chave: Collective action; Participation intensity; Smallholder farmers; Kenya; Community/Rural/Urban Development; Institutional and Behavioral Economics; International Development; D23; D71; O13; Q13.
Ano: 2011 URL: http://purl.umn.edu/108551
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