Campus Units

Economics

Document Type

Article

Publication Version

Published Version

Publication Date

2010

Journal or Book Title

Journal of Agricultural & Food Industrial Organization

Volume

8

Issue

1

First Page or Article ID Number

1

Last Page

25

DOI

10.2202/1542-0485.1282

Abstract

Contracts serve as coordination mechanisms which allocate value, risk, and decision rights across buyers and sellers. The use of marketing contracts in agriculture, specifically for crop production, has been increasing over the past decade. This study investigates the determinants of agricultural marketing contract design employing data from the USDA's Agricultural Resource Management Survey. Models are estimated to analyze the association between producer and contractor characteristics, the decision to produce under contract, and the types of contract structures observed in practice, while controlling for the potential for endogenous matching between contracting parties. Results indicate that while certain producer characteristics are significantly associated with the decision to produce corn or soybeans under contract, there is no significant association between those characteristics and specific contract attributes.

Comments

This article is from Journal of Agricultural & Food Industrial Organization 8 (2010): 1, doi:10.2202/1542-0485.1282. Posted with permission.

Copyright Owner

De Gruyter

Language

en

File Format

application/pdf

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