1997
DOI: 10.1111/1467-9442.00083
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One Cow, One Vote?

Abstract: We study investment decisions in a farmers' cooperative. Farmers sell their products through the cooperative. Before production takes place the cooperative has to decide on an investment. We study whether voting on investment leads to efficient investment decisions. The answer depends on how the number of votes and the cost of the investment are distributed among the farmers. It is shown that in a variety of settings, there is no reason to suppose that voting rules favoring large farmers -''one cow, one vote''… Show more

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Cited by 23 publications
(19 citation statements)
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“…11 For models in which cooperatives are price-takers in their selling market, see Karantininis & Zago (2001), Albaek & Schultz (1997), Sexton (1990).…”
Section: Marketing Cooperative With No Direct Selling: Full Marketingmentioning
confidence: 99%
See 1 more Smart Citation
“…11 For models in which cooperatives are price-takers in their selling market, see Karantininis & Zago (2001), Albaek & Schultz (1997), Sexton (1990).…”
Section: Marketing Cooperative With No Direct Selling: Full Marketingmentioning
confidence: 99%
“…We could consider that the profit is shared proportionally to the quantity delivered by the farmer. Specifically, farmer i receives a part q i / q j (like investment sharing in cooperatives, as in Albaek & Schultz (1997)). Therefore, the profit of farmer i is…”
Section: Marketing Cooperative With No Direct Selling: Full Marketingmentioning
confidence: 99%
“…8 For models in which cooperatives are price-takers in their selling market, see Karantininis & Zago (2001), Albaek & Schultz (1997), Sexton (1990).…”
Section: Marketing Cooperative With No Direct Selling: Full Marketingmentioning
confidence: 99%
“…We could consider that the profit is shared proportionally to the quantity delivered by the farmer. Specifically, farmer i receives a part qi/ qj (like investment sharing in cooperatives, as in Albaek & Schultz (1997)). Therefore, the profit of farmer i is ui = pcqi − Aiq…”
Section: Marketing Cooperative With No Direct Selling: Full Marketingmentioning
confidence: 99%
See 1 more Smart Citation