Duality theorems summarising some unambiguous qualitative comparative static results for processing cooperatives - The restricted profit function applied
Cooperatives can broadly be divided into processing and marketing cooperatives on the one hand, and purchasing and supplying cooperatives on the other. In the early economic cooperative literature it is suggested that a processing cooperative may pursue either one of the following four objectives: a) Maximisation of the net average revenue product, b) Maximisation of the dividend, c) Maximisation of the processing cooperative’s profit, and d) Maximisation of members’ producer surplus plus the cooperative’s profit. The corresponding objectives for purchasing and supplying cooperatives are: e) Minimisation of the purchasing price, f) Maximisation of the dividend, g) Maximisation of the purchasing cooperative’s profit, and h) Maximisation of members’ consumer surplus plus the cooperative’s profit. This article analyses processing cooperative behaviour within a duality framework based on the restricted profit function. The five derived duality theorems concisely summarise the unambiguous qualitative comparative static results for a cooperative’s ordinary or relative choice functions, depending on which objective the daily manager is assumed to pursue.
|Date of creation:||2008|
|Contact details of provider:|| Web page: http://www.eaae.org|
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Sexton, Richard J. & Wilson, Brooks M. & Wann, Joyce J., 1989. "Some Tests Of The Economic Theory Of Cooperatives: Methodology And Application To Cotton Ginning," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 14(01), July.
- G. E. Boyle, 1998. "A Duality Approach to Testing the Economic Behaviour of Dairy-Marketing Co-operatives: The Case of Ireland," Economics, Finance and Accounting Department Working Paper Series n800798, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth.
- Frank Robotka, 1947. "A Theory of Cooperation," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(1), pages 94-114.
When requesting a correction, please mention this item's handle: RePEc:ags:eaae08:44374. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.