The Transformation of Hungarian Production Cooperatives and Future Consequences

Erzsebet Toth, Gyula Varga and Philip L. Paarlberg

Journal of Cooperatives, 1996, vol. 11, 17

Abstract: This research examines the transformation of Hungarian agricultural production cooperatives. In contrast to early expectations, cooperatives did not experience much membership loss. Rather, the enterprises held together, although they downsized. The distribution of collective assets occurred quickly and created much tension. The sector experienced a severe decapitalization, and the efficiency of the sector fell. There was a sharp rise in unemployment. Sales and marketing were disrupted. Thus, the cooperatives transformed in a very hostile situation. They survived, and some prospered, yet, in general, they remain vulnerable to adverse economic developments. Healthy cooperatives will be vital to the success of smaller private farms.

Keywords: Agribusiness (search for similar items in EconPapers)
Date: 1996
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Persistent link: https://EconPapers.repec.org/RePEc:ags:jlcoop:46185

DOI: 10.22004/ag.econ.46185

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