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Farmer trust in producer‐ and investor‐owned firms: Evidence from Missouri corn and soybean producers
Author(s) -
Jr. Harvey S. James,
Sykuta Michael E.
Publication year - 2006
Publication title -
agribusiness
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.57
H-Index - 43
eISSN - 1520-6297
pISSN - 0742-4477
DOI - 10.1002/agr.20069
Subject(s) - agribusiness , honesty , business , competence (human resources) , perception , marketing , agricultural science , agricultural economics , agriculture , economics , management , environmental science , ecology , neuroscience , political science , law , biology
The authors examine whether cooperatives are characterized by greater trust than investor‐owned firms. They surveyed 2,000 Missouri corn and soybean farmers and found that trust and farmer perceptions of honesty and competence are higher in cooperatives than in investor‐owned firms and that trust is a significant factor explaining the choice of farmers to market to cooperatives rather than investor‐owned firms. Interestingly, they found that trust is more significant in producers' decisions for marketing soybeans than for corn. [JEL classifications: Q130, Z130]. © 2006 Wiley Periodicals, Inc. Agribusiness 22: 135–153, 2006.