Why cooperative wineries produced poor quality wine and why they were set up: Evidence from Spain (1895-1935)

Samuel Garrido

No 2018/10, Working Papers from Economics Department, Universitat Jaume I, Castellón (Spain)

Abstract: Since the 1950s a substantial part of all European wine has come from cooperative wineries, which since their appearance around the year 1900 have mostly produced cheap, poor quality wine. This paper discusses whether this has been a consequence of their inability to solve a collective action problem. After showing that this is not so, it examines why cooperatives concentrated on the production of bad wine and studies why their market share was small before the 1950s. Lastly, it uses data from Spain to analyse the factors determining the creation of cooperative wineries in the early twentieth century.

Keywords: wine; winemaking cooperatives; cooperative wineries; collective action (search for similar items in EconPapers)
JEL-codes: L66 N53 N54 Q13 (search for similar items in EconPapers)
Pages: 39 pages
Date: 2018
New Economics Papers: this item is included in nep-agr and nep-his
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Persistent link: https://EconPapers.repec.org/RePEc:jau:wpaper:2018/10

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