An evaluation of input purchasing behavior at farm supply cooperatives Public Deposited

http://ir.library.oregonstate.edu/concern/graduate_thesis_or_dissertations/5138jh07f

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  • This study uses an econometric model to explain patronage of farm inputs at cooperatives in a highly diversified agricultural region. The model jointly addresses farmer purchases of six input categories: petroleum, pesticides, fertilizers, services, feed, and seed. Explanatory variables include farm size, farm experience, farm type, membership status farm location, and several attitudinal components. Using a combination of principal components, coefficients restrictions, and seemingly unrelated regressions, joint estimates were made of purchases of different input groups, based on a data set of highly correlated explanatory variables. The results were mixed. Gross revenue did not play a significant role in the percentage of input purchases made at cooperatives. The use of attitudinal measures was also found to be, in general, an insignificant determinant of purchasing behavior. Membership status, was strongly associated with the percent of purchases made at cooperative, but the type of farm was an insignificant indicator.
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