EconPapers    
Economics at your fingertips  
 

Quality provision and governance structure variety: Pooling versus double markup

Qiao Liang, George W. J. Hendrikse and Zuhui Huang

IAMO Forum 2010: Institutions in Transition – Challenges for New Modes of Governance from Leibniz Institute of Agricultural Development in Central and Eastern Europe (IAMO)

Abstract: This paper examines how farmers producing differentiated quality products choose different governance structures in a non-cooperative game between farmers, enterprises, and consumers. A cooperative and an IOF (investor owned firm) coexist in equilibrium and low quality is delivered by the cooperative. The trade-off between pooling and the elimination of the double markup determines the attractiveness of cooperatives compared to IOFs.

Keywords: Quality; Cooperatives; Investor-Owned Firms (search for similar items in EconPapers)
JEL-codes: C72 L22 Q13 (search for similar items in EconPapers)
Date: 2010
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed

Downloads: (external link)
https://www.econstor.eu/bitstream/10419/52694/1/676455646.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:zbw:iamo10:52694

Access Statistics for this paper

More papers in IAMO Forum 2010: Institutions in Transition – Challenges for New Modes of Governance from Leibniz Institute of Agricultural Development in Central and Eastern Europe (IAMO) Contact information at EDIRC.
Series data maintained by ZBW - German National Library of Economics ().

 
Page updated 2017-09-29
Handle: RePEc:zbw:iamo10:52694