Cooperatives and the Breakup of Large Mechanized Farms: Theoretical Perspectives and Empirical Evidence

摘要

The paper assesses the potential for cooperatives to contribute to the restructuring of large farm agriculture by comparing costs and benefits of cooperative forms of organization from a theoretical and an empirical perspective. A key distinction is made between agricultural production cooperatives (APCs), where production is undertaken jointly, and service cooperatives (SCs), which provide services in the areas of input supply, marketing, credit, or technology. Service cooperatives (SCs) are defined as voluntary associations with a democratic internal structure in which members' voting power is based either on the one man-one vote principle or on patronage i.e. use of cooperative services. Capital is not a residual claimant but receives only a fixed dividend and the main part of residual profit is distributed among members as a patronage rebate. Furthermore, ownership rights can not be traded but may be retired according to a scheme designed by the cooperative. (Copyright (c) 1993 The International Bank for Reconstruction and Development/The World Bank.)