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Of Farmers And Butchers - Comparing The Determinants Of Exit In Shrinking Sectors

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  • Mann, Stefan
  • Mante, Juliane

Abstract

Farmers and butchers in Switzerland both operate in shrinking sectors. The number of businesses and the sectoral turnover has decreased by about 40 per cent over the last twenty years for both sectors. It is, however, an interesting question whether the determinants of exit are the same for the primary sector and the secondary and tertiary sector. A regression analysis reveals that, for farmers, a larger part of exits can be traced back to economic factors if compared to butchers. For butchers, the profit of the business is the key determinant of structural change, whereas for farms, the level of prices is an important signal factor. Interest rates influence structural change for both sectors. The study points to the importance of sector-specific research.

Suggested Citation

  • Mann, Stefan & Mante, Juliane, 2004. "Of Farmers And Butchers - Comparing The Determinants Of Exit In Shrinking Sectors," Working Papers 30708, Agroscope Reckenholz Tanikon (ART).
    • Handle: RePEc:ags:artawp:30708
    DOI: 10.22004/ag.econ.30708
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    File URL: https://ageconsearch.umn.edu/record/30708/files/wp030001.pdf
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    References listed on IDEAS

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    1. Sukant K. Misra & Brent D. McPeek & Eduardo Segarra, 2000. "Optimal Structure of the Ginning Industry in the Southern High Plains of Texas," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 22(1), pages 120-133.
    2. Michael Moore, 1998. "European steel policies in the 1980s: Hindering technological innovation and market structure change?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 134(1), pages 42-68, March.
    3. Ritsila, Jari & Tervo, Hannu, 2002. "Effects of Unemployment on New Firm Formation: Micro-level Panel Data Evidence from Finland," Small Business Economics, Springer, vol. 19(1), pages 31-40, August.
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    Cited by:

    1. Mann, Stefan, 2005. "Trade Restrictions on Farmland - a Utilitarian Analysis of Paternalistic Laws," Working Papers 30709, Agroscope Reckenholz Tanikon (ART).
    2. Ferjani, Ali & Zimmermann, Albert & Roesch, Andreas, 2015. "Determining Factors of Farm Exit in Agriculture in Switzerland," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 16(1), pages 1-14.
    3. Landi, Chiara & Stefani, Gianluca & Rocchi, Benedetto & Lombardi, Ginevra V. & Giampaolo, Sabina, 2013. "Determinants of Structural Change in the agricultural sector: An Empirical Analysis of Farm Exit in Tuscany," 2013 Second Congress, June 6-7, 2013, Parma, Italy 149893, Italian Association of Agricultural and Applied Economics (AIEAA).

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    Keywords

    Agribusiness; Farm Management;

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