The economic advantages of limited cooperation between similar arable farms in capital goods and labour are not very great. If a syndicate becomes tighter in organization, the advantages increase but the commitments also increase. A series of calculations for a labour force of three or four on each farm and a rising area per worker resulted in the choice of an ownerunit of 48 ha as a basis for calculations on cooperation between farms. The satisfactory results with the owner-unit of 48 ha means that enlarging the farm by renting land and hiring labour would produce a strong increase in total returns. However a great increase in capital is then necessary. The study distinguished full and part syndicates and investigated syndicates of two to six farms. For syndicates of arable farmers, profits were maximized if the crops were grown under the responsibility of the farmer achieving highest average yields. "Compensatory" prices were used in organizing a cropping plan so that some part of the production of the crop is allocated to each member of the syndicate.
|Qualification||Doctor of Philosophy|
|Award date||18 Dec 1981|
|Place of Publication||Wageningen|
|Publication status||Published - 1981|
- horizontal integration