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Law and Peace: Contracts and the Success of the Danish Dairy Cooperatives

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Author Info

  • Ingrid Henriksen

    (Department of Economics, University of Copenhagen)

  • Morten Hviid

    (University of East Anglia)

  • Paul Sharp

    (Humboldt University / University of Copenhagen)

Abstract

We consider the successful early emergence of cooperative creameries in Denmark in the late nineteenth century within the framework of the ‘new institutional economics’ presented by Williamson (2000). Previous work has focused on the social cohesion of the Danes, but we demonstrate that this was not sufficient for the success. The Danish legal system, which we compare to that of other countries, was also of crucial importance, along with the way in which rules were monitored and enforced. Of particular importance was the Danish cooperatives’ use of contracts, which we explore with evidence from a variety of primary and secondary sources.

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Bibliographic Info

Paper provided by University of Copenhagen. Department of Economics in its series Discussion Papers with number 11-11.

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Length: 32 pages
Date of creation: Apr 2011
Date of revision:
Handle: RePEc:kud:kuiedp:1111

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Keywords: cooperatives; creameries; contracts; new institutional economics;

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References

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  1. Kevin H. O'Rourke, 2001. "Culture, politics and innovation: evidence from the creameries," Trinity Economics Papers 200120, Trinity College Dublin, Department of Economics.
  2. KevinH. O'Rourke, 2007. "Culture, Conflict and Cooperation: Irish Dairying Before the Great War," Economic Journal, Royal Economic Society, vol. 117(523), pages 1357-1379, October.
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Cited by:
  1. Henriques, Sofia Teives & Sharp, Paul, 2014. "The Danish Agricultural Revolution in an Energy Perspective: A Case of Development with Few Domestic Energy Sources," Discussion Papers of Business and Economics 9/2014, Department of Business and Economics, University of Southern Denmark.
  2. Markus Lampe & Paul Sharp, 2013. "Greasing the Wheels of Rural Transformation? Margarine and the Competition for the British Butter Market," Working Papers 0043, European Historical Economics Society (EHES).
  3. Markus Lampe & Paul Sharp, 2014. "Just Add Milk: A Productivity Analysis of the Revolutionary Changes in Nineteenth Century Danish Dairying," Working Papers 0055, European Historical Economics Society (EHES).

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