Affiliation:
1. LICOS Centre for Institutions and Economic Performance & Department of Economics, KU Leuven, Leuven, Belgium
Abstract
Abstract
Agricultural cooperatives are often promoted as a way to give farmers countervailing market power and greater income stability. This paper investigates to what extent cooperatives in food supply chains achieve these objectives. We estimate firm-level markups and markup volatility in the Italian fruits and vegetable (F&V) and dairy sectors at both the farming and processing stages for the period 2007–2014. We find mixed results: compared to non-cooperatives, F&V processor cooperatives have higher markups, while F&V farmer cooperatives and dairy processor cooperatives have lower markups. We do not find strong evidence of their role on markup volatility.
Funder
KU Leuven/Flemish Government, Methusalem Funding
Horizon 2020 Framework Programme
Publisher
Oxford University Press (OUP)
Subject
Economics and Econometrics,Agricultural and Biological Sciences (miscellaneous)
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