Optimal cooperative pools for California avocados
AuthorStephen H. Sosnick
Author AffiliationsStephen H. Sosnick was Assistant Professor of Agricultural Economics and Assistant Economist in the Experiment Station and the Giannini Foundation, Davis.
Hilgardia 35(4):47-84. DOI:10.3733/hilg.v35n04p047. September 1963.
Pooling is a method of allocating net revenues. Marketing cooperatives that adopt this method to determine members’ returns face conflicting objectives when choosing a set of pools. Using numerous pools avoids inequity and maintains incentives, while using few pools achieves savings and spreads risks. This study proposes a method for selecting a reasonable compromise. From this viewpoint it appraises 31 possibilities in pooling California avocados.
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