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Trust, Inequality And The Size Of The Co-Operative Sector: Cross-Country Evidence

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  • Derek C. Jones
  • Panu Kalmi

Abstract

We provide the first empirical evidence on the determinants of differences in the size of the cooperative sector around the world. Our key data have been recently released by the ICA and are integrated with other standard sources, such as data from the World Values surveys. In our empirical work we concentrate on the links between inequality and trust and cooperative incidence and undertake selectivity correction estimates as well as a series of robustness checks. Consistent with theory we find strong support for the proposition that trust plays a causal role in accounting for differences in co-operative incidence. Also consistent with theory, we find support (albeit much weaker) for the role of inequality. Further support for our findings flows from our estimates for conventional, listed firms, where we do not find that trust and inequality play similar roles in accounting for the variation in the incidence of large listed firms across countries. Copyright � 2009 The Authors Journal compilation � CIRIEC 2009.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Annals of Public and Cooperative Economics.

Volume (Year): 80 (2009)
Issue (Month): 2 (06)
Pages: 165-195

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Handle: RePEc:bla:annpce:v:80:y:2009:i:2:p:165-195

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Cited by:
  1. Jesús CLEMENTE & Millán DIAZ-FONCEA & Carmen MARCUELLO & Marcos SANSO-NAVARRO, 2012. "The Wage Gap Between Cooperative And Capitalist Firms: Evidence From Spain," Annals of Public and Cooperative Economics, Wiley Blackwell, Wiley Blackwell, vol. 83(3), pages 337-356, 09.
  2. Carmen Marcuello & Pablo Nachar-Calderón, 2012. "Sociedad cooperativa y socio cooperativo: propuesta de sus funciones objetivo," Documentos de Trabajo, Facultad de Ciencias Económicas y Empresariales, Universidad de Zaragoza dt2012-02, Facultad de Ciencias Económicas y Empresariales, Universidad de Zaragoza.
  3. Panu Kalmi, 2013. "Catching a wave: the formation of co-operatives in Finnish regions," Small Business Economics, Springer, Springer, vol. 41(1), pages 295-313, June.
  4. Natália Pimenta Monteiro & Geoff Stewart, 2013. "Scale, Scope and Survival: A Comparison of Cooperative and Capitalist Modes of Production," NIPE Working Papers, NIPE - Universidade do Minho 08/2013, NIPE - Universidade do Minho.
  5. Arando, Saioa & Gago, Monica & Podivinsky, Jan M. & Stewart, Geoff, 2012. "Do labour-managed firms benefit from agglomeration?," Journal of Economic Behavior & Organization, Elsevier, Elsevier, vol. 84(1), pages 193-200.

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