An empirical analysis of the determinants of marketing contract structures for corn and soybeans

Journal of Agricultural and Food Industrial Organization

Volumn 8, Issue 1, 2010, Pages

  Paulson, Nicholas D ^a   Katchova, Ani L ^b   Lence, Sergio H ^c  

^a UNIVERSITY OF ILLINOIS AT URBANA CHAMPAIGN   (United States)

^b UNIVERSITY OF KENTUCKY   (United States)

^c IOWA STATE UNIVERSITY   (United States)

Author keywords

Contracts; Corn; Endogenous matching; Marketing contracts; Soybeans

Indexed keywords

GLYCINE MAX; ZEA MAYS;

EID: 77953154149     PISSN: None     EISSN: 15420485     Source Type: Journal    
DOI: 10.2202/1542-0485.1282     Document Type: Article

References (36)

1. Ackerberg, D. A., and M. Botticini. "Endogenous Matching and the Empirical Determinants of Contract Form." Journal of Political Economy 110(2002): 564-591. (Pubitemid 34749952)
2. Allen, D.W. and D. Lueck. "The Role of Risk in Contract Choice." Journal of Law, Economics, and Organization 15(1999): 704-736.
3. Barkema, A.D. "Reaching Consumers in the 21st Century: The Short Way Around the Barn." American Journal of Agricultural Economics 75(1993): 1126-1131.
4. Coaldrake, K.F., S.T. Sonka, D. Sudharashan, and F.W. Winter, eds. New Industries and Strategic Alliances in Agriculture: Concepts and Cases. Champaign, IL: Stipes Publishing, 1995.
5. Coble, K.H., R.G. Heifner, and M. Zuniga. "Implications of Crop Yield and Revenue Insurance for Producer Hedging. Journal of Agricultural and Resource Economics, 25(2000): 432-452.
6. Drabenstott, M. "Consolidation in US Agriculture: The New Rural Landscape and Public Policy." Economic Review 84(1999): 63-71.
7. Dubman, R.W. "Variance Estimation with USDA's Farm Costs and Returns Surveys and Agricultural Resource Management Study Surveys." Staff Paper No. AGES 00-01. Economic Research Service, United States Department of Agriculture, Washington, DC, 2000.
8. ERS. Briefing Rooms: Agricultural Resource Management Survey (ARMS). Economic Research Service, United States Department of Agriculture, Washington, DC. Available at http://www.ers.usda.gov/Briefing/ARMS/. Accessed January, 2008.
9. Fraser, I. "Microeconometric Analysis of Wine Grape Supply Contracts in Australia." Australian Journal of Agricultural Economics 49(2005): 23-46. (Pubitemid 40560628)
10. Fukunaga, K. and W.E. Huffman. "The Role of Risk and Transaction Costs in Contract Design: Evidence from Farmland Lease Contracts in U.S. Agriculture." American Journal of Agricultural Economics 91(2009): 237-249.
11. Fulton, J., J. Pritchett, and R. Pederson. "Contract Production and Market Coordination for Specialty Crops: The Case of Indiana." Paper presented at Product Differentiation and Market Segmentation in Grains and Oilseeds: Implications for Industry in Transition Symposium, ERS USDA and Farm Foundation Inc., Washington, DC, January 2003.
12. Greene, W.H. Econometric Analysis, 5th Edition. Prentice Hall, Upper Saddle River, New Jersey, 2003.
13. Hennessy, D.A. "Information Asymmetry as a Reason for Food Industry Vertical Integration." American Journal of Agricultural Economics 78(1996):1034-1043. (Pubitemid 126526646)
14. Hennessy, D.A., and J.D. Lawrence. "Contractual Relations, Control, and Quality in the Hog Sector." Review of Agricultural Economics 21(1999): 52-67.
15. Hueth B. and E. Ligon. "Producer Price Risk and Quality Measurement." American Journal of Agricultural Economics 81(1999): 512-524. (Pubitemid 129525203)
16. Huffman, W. and R. Just. "Implications of Agency Theory for Optimal Land- Tenure Contracts." Economic Development and Cultural Change 52(2004): 617-642. (Pubitemid 39033136)
17. James, H.S. and M.E. Sykuta. "Farmer Trust in Producer- and Investor-Owned Firms: Evidence from Missouri Corn and Soybean Producers." Agribusiness 22(2006): 135-153.
18. Katchova, A.L. "Agricultural Contracts and Alternative Marketing Options: A Matching Analysis." Journal of Agricultural and Applied Economics 42(2010): 261-276.
19. Lajili, K., P.J. Barry, S.T. Sonka, and J.T. Mahoney. "Farmer's Preferences for Crop Contracts." Journal of Agricultural and Resource Economics 22(1997): 264-280.
20. Lockheed, M.E., T. Jamison, and L.J. Lau. "Farmer Education and Farm Efficiency: A Survey." Economic Development and Cultural Change 29(1980): 37-76.
21. MacDonald, J. and P. Korb. "Agricultural Contracting Update, 2005." Economic Information Bulletin No. 35, Economic Research Service, USDA, April 2008. http://www.ers.usda.gov/Publications/EIB35/EIB35.pdf
22. Mishra, A.K. and H.S. El-Osta. "Managing Risk in Agriculture Through Hedging and Crop Insurance: What Does a National Survey Reveal?" Agricultural Finance Review 62(2002): 135-148.
23. Parcell, J.L. and M.R. Langemeier. "Feeder-Pig Producers and Finishers: Who Should Contract?" Canadian Journal of Agricultural Economics 45(1997): 317-327. (Pubitemid 127685645)
24. Paulson, N.D., G.D. Schnitkey, and B.J. Sherrick. "Impacts of Crop Insurance and Marketing on Land Rental Decisions." Paper presented at the 2008 SCC-76 Economics and Management of Risk in Agriculture meetings, Orange Beach, AL, March 2008.
25. Rainey, R.L., B.L. Dixon, B.L. Ahrendsen, L.D. Parsch, and R.W. Bierlen. "Arkansas Landlord Selection of Land-Leasing Contract Type and Terms." International Food and Agribusiness Management Review 8(2005): 1-19.
26. Roe, B., T.L. Sporleder, and B. Belleville. "Hog Producer Preferences for Marketing Contract Attributes." American Journal of Agricultural Economics 86(2004): 115-123. (Pubitemid 38256859)
27. Sexton, R.J. and M. Zhang. "A Model of Price Determination for Fresh Produce with Application to California Iceberg Lettuce." American Journal of Agricultural Economics 78(1996): 924-934. (Pubitemid 126526636)
28. Sheldon, I.M. "Contracting, Imperfect Information, and the Food System." Review of Agricultural Economics 18(1996): 7-19.
29. Sherrick, B.J., P.J. Barry, P.N. Ellinger, and G.D. Schnitkey. "Factors Influencing Farmers' Crop Insurance Decisions." American Journal of Agricultural Economics 86(2004): 103-114.
30. Smith, V.H. and A.E. Baquet. "The Demand for Multiple Peril Crop Insurance: Evidence from Montana Wheat Farmers." American Journal of Agricultural Economics 78(1996): 189-201.
31. Stiglitz, J.E. "Incentives and Risk Sharing in Sharecropping." Review of Economics Studies 41(1974): 219-255.
32. Sykuta, M.L. and M.L. Cook. "A New Institutional Approach to Contracts and Cooperatives." American Journal of Agricultural Economics 83(2001): 1273-1279.
33. Sykuta, M. and J. Parcell. "Contract Structure and Design in Identity-Preserved Soybean Production." Review of Agricultural Economics 25(2003): 332-350.
34. Tsoulouhas, T. and T. Vukina. "Integrator Contracts with Many Agents and Bankruptcy." American Journal of Agricultural Economics 81(1999): 61-74. (Pubitemid 129524196)
35. Velandia, M., R.M. Rejesus, T.O. Knight, and B.J. Sherrick. "Factors Affecting Farmers' Utilization of Agricultural Risk Management Tools: The Case of Crop Insurance, Forward Contracting, and Spreading Sales." Journal of Agricultural and Applied Economics 41(2009): 107-123.
36. Zheng, X., T. Vukina, and C. Shin. "The Role of Farmers' Risk Aversion for Contract Choice in the U.S. Hog Industry." Journal of Agricultural & Food Industrial Organization 6(2008): Article 4. Available at http://www.bepress.com/jafio/vol6/iss1/art4/. (Pubitemid 351948986)