Characteristics of Grain Elevators that Contract with Railroads

Steven D. Hanson, Stephen B. Baumhover and C. Phillip Baumel

American Journal of Agricultural Economics, 1990, vol. 72, issue 4, 1041-1046

Abstract: The Staggers Rail Act of 1980 allowed contracts between railroads and shippers which have resulted in increased grain prices to some farmers while, at the same time, increasing competitive pressure on some local grain elevators. This study employs a logistic model designed for complex survey designs to identify characteristics of elevators that had railroad contracts during 1983–85. The total volume shipped from an elevator, number of railroads serving an elevator location, and affiliation with elevator firms serviced by more than one railroad company are found to contribute significantly to the probability of a grain elevator receiving a railroad contract.

Date: 1990
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Persistent link: https://EconPapers.repec.org/RePEc:oup:ajagec:v:72:y:1990:i:4:p:1041-1046.

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