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Self-Selection by Contractual Choice and the Theory of Sharecropping

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Author Info
William Hallagan
Abstract

There are definite patterns for the organization of production on agricultural land. Production of some crops tends to be organized via wage contracts, while land sown to other crops tends to be rented, and still other crops are frequently sharecropped. One popular explanation is that contractual choice in agriculture is related to the riskiness of production. Sharecropping, according to this argument, is used with the most risky crops to facilitate risk spreading in a world with incomplete insurance markets.

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File URL: http://links.jstor.org/sici?sici=0361-915X%28197823%299%3A2%3C344%3ASBCCAT%3E2.0.CO%3B2-E&origin=repec
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Publisher Info
Article provided by The RAND Corporation in its journal Bell Journal of Economics.

Volume (Year): 9 (1978)
Issue (Month): 2 (Autumn)
Pages: 344-354
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Handle: RePEc:rje:bellje:v:9:y:1978:i:autumn:p:344-354

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  1. Benito Arruñada & Manuel González, 1997. "How Competition Controls Team Production: The Case of Fishing Firms," Economics Working Papers 261, Department of Economics and Business, Universitat Pompeu Fabra. [Downloadable!]
  2. Ananish Chaudhuri & Pushkar Maitra, 2001. "Tenant characteristics and the choice of tenurial contracts in rural India," Journal of International Development, John Wiley & Sons, Ltd., vol. 13(2), pages 169-181. [Downloadable!]
  3. Magnus Hatlebakk, 2006. "The effects of agrarian contracts of a governmental intervention into bonded labor in the western terai of Nepal," CMI Working Papers WP 2006: 6, CMI (Chr. Michelsen Institute), Bergen, Norway. [Downloadable!]
  4. Briones, Roehlano M., 2000. "Property Rights Reform in Philippine Agriculture: Framework for Analysis and Review of Recent Experience," Discussion Papers DP 2000-29, Philippine Institute for Development Studies. [Downloadable!]
  5. Francine Lafontaine & Kathryn L. Shaw, 1996. "The Dynamics of Franchise Contracting: Evidence from Panel Data," NBER Working Papers 5585, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  6. Eugene Canjels & Ute Volz, 2001. "Share Contracts and Unobserved Ability," SCEPA Working Papers 2001-03, Schwartz Center for Economic Policy Analysis (SCEPA), The New School. [Downloadable!]
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