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Understanding Efficiency of Agrarian Organisation

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  • Hrabrin Bachev

    (Institute of Agricultural Economics, Sofia, Bulgaria)

Abstract

In this paper we incorporate achievements of interdisciplinary New Institutional and Transaction Costs Economics (combining Economics, Organization, Law, Sociology, Behavioural and Political Sciences) into analysis of agrarian organizations and suggest a framework for evaluating efficiency of different governing structures in agriculture. This new approach includes: study of farm and other agrarian organizations as a governing rather than production structure; assessment of comparative efficiency of alternative (market, contract, internal, hybrid) modes of governance; analysis of level of transaction costs and their institutional, behavioural (agents preferences, bounded rationality, tendency for opportunism), dimensional (frequency, uncertainty, assets specificity, and appropriability of transactions), and technological factors; and determination of effective horizontal and vertical boundaries of farms, and other agrarian organizations.

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Bibliographic Info

Article provided by University of Petrosani, Romania in its journal Annals of the University of Petrosani - Economics.

Volume (Year): 9 (2009)
Issue (Month): 1 ()
Pages: 27-42

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Handle: RePEc:pet:annals:v:9:i:1:y:2009:p:27-42

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Keywords: agrarian governance; efficiency of farms and agrarian organizations; transaction costs; new institutional and transaction costs economics;

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  1. Dahlman, Carl J, 1979. "The Problem of Externality," Journal of Law and Economics, University of Chicago Press, vol. 22(1), pages 141-62, April.
  2. Demsetz, Harold, 1969. "Information and Efficiency: Another Viewpoint," Journal of Law and Economics, University of Chicago Press, vol. 12(1), pages 1-22, April.
  3. Bachev, Hrabrin, 2009. "Mechanisms of Governance of Sustainable Development," MPRA Paper 14947, University Library of Munich, Germany.
  4. Hrabrin Bachev, 2005. "Efficiecy Of Agrarian Organisations," Microeconomics 0511002, EconWPA.
  5. Bachev, Hrabrin, 2008. "Governing of agrarian innovations," MPRA Paper 7784, University Library of Munich, Germany.
  6. Gorton, Matthew & Davidova, Sophia, 2004. "Farm productivity and efficiency in the CEE applicant countries: a synthesis of results," Agricultural Economics, Blackwell, vol. 30(1), pages 1-16, January.
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