TRANSACTION COSTS WITHIN THE INDIVIDUAL AND COOPERATIVE APPLE PRODUCERS IN PRESPA REGION, THE REPUBLIC OF MACEDONIA

Apple production in the Republic of Macedonia is an important sector that highly contributes to theeconomy in terms of employment and income, especially for the small farmers in Prespa Region. Despitecooperatives’ efforts and governmental support to attract members through the provision of inputs,te...

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Main Authors: Aleksandra ANGELOSKA, Nikola M. TRENDOV, Dumitru STRATAN
Format: Article
Language:English
Published: National Institute for Economic Research 2018-02-01
Series:Economy and Sociology
Subjects:
Online Access:https://ince.md/uploads/files/1518168567_5-angeloska-a-p.-45-54.pdf
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author Aleksandra ANGELOSKA
Nikola M. TRENDOV
Dumitru STRATAN
author_facet Aleksandra ANGELOSKA
Nikola M. TRENDOV
Dumitru STRATAN
author_sort Aleksandra ANGELOSKA
collection DOAJ
description Apple production in the Republic of Macedonia is an important sector that highly contributes to theeconomy in terms of employment and income, especially for the small farmers in Prespa Region. Despitecooperatives’ efforts and governmental support to attract members through the provision of inputs,technical advices and other incentives to farmers, membership adherence is low and slow. The TransactionCost Economics Theory (TCE) provided the basis for this study where the choice is conditioned by relativecomparative advantage in terms of lower transaction costs. Based on the research, following conclusions are underlined: a. from the perspective of farmers andthe cooperatives there are factors that positively influence the choice of cooperative membership; b. fromthe cooperative’s side, some of the positive influences are its regular flow of price information, constanttechnical advices and secured market; c) for farmers who aim at increasing production and improving theirincomes, membership to cooperative signifies security of accessing cheaper inputs especially chemicalfertiliser, security of market for the produced apples and higher frequency of transaction cost. Farmers’choices are not exclusive to one type of structure or the other. Farmers can transact with the cooperative andtrader at the same time, influenced by the differences in the price among the “Idared” and “varieties”. Bothof them, members and non-members are limited connected to the “middlemen” in choice of transactions.
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spelling doaj.art-366df6fb03064555bbbbbdf3a157df0b2022-12-21T21:03:22ZengNational Institute for Economic ResearchEconomy and Sociology1857-41301857-41302018-02-0134554TRANSACTION COSTS WITHIN THE INDIVIDUAL AND COOPERATIVE APPLE PRODUCERS IN PRESPA REGION, THE REPUBLIC OF MACEDONIAAleksandra ANGELOSKA0Nikola M. TRENDOV1Dumitru STRATAN2PhD Student, Szent Istvan University, HungaryPhD Student, Szent Istvan University, Hungary PhD Student, Szent Istvan University, HungaryApple production in the Republic of Macedonia is an important sector that highly contributes to theeconomy in terms of employment and income, especially for the small farmers in Prespa Region. Despitecooperatives’ efforts and governmental support to attract members through the provision of inputs,technical advices and other incentives to farmers, membership adherence is low and slow. The TransactionCost Economics Theory (TCE) provided the basis for this study where the choice is conditioned by relativecomparative advantage in terms of lower transaction costs. Based on the research, following conclusions are underlined: a. from the perspective of farmers andthe cooperatives there are factors that positively influence the choice of cooperative membership; b. fromthe cooperative’s side, some of the positive influences are its regular flow of price information, constanttechnical advices and secured market; c) for farmers who aim at increasing production and improving theirincomes, membership to cooperative signifies security of accessing cheaper inputs especially chemicalfertiliser, security of market for the produced apples and higher frequency of transaction cost. Farmers’choices are not exclusive to one type of structure or the other. Farmers can transact with the cooperative andtrader at the same time, influenced by the differences in the price among the “Idared” and “varieties”. Bothof them, members and non-members are limited connected to the “middlemen” in choice of transactions.https://ince.md/uploads/files/1518168567_5-angeloska-a-p.-45-54.pdftransaction cost economic theoryapplescooperativefarmersRepublic of Macedonia
spellingShingle Aleksandra ANGELOSKA
Nikola M. TRENDOV
Dumitru STRATAN
TRANSACTION COSTS WITHIN THE INDIVIDUAL AND COOPERATIVE APPLE PRODUCERS IN PRESPA REGION, THE REPUBLIC OF MACEDONIA
Economy and Sociology
transaction cost economic theory
apples
cooperative
farmers
Republic of Macedonia
title TRANSACTION COSTS WITHIN THE INDIVIDUAL AND COOPERATIVE APPLE PRODUCERS IN PRESPA REGION, THE REPUBLIC OF MACEDONIA
title_full TRANSACTION COSTS WITHIN THE INDIVIDUAL AND COOPERATIVE APPLE PRODUCERS IN PRESPA REGION, THE REPUBLIC OF MACEDONIA
title_fullStr TRANSACTION COSTS WITHIN THE INDIVIDUAL AND COOPERATIVE APPLE PRODUCERS IN PRESPA REGION, THE REPUBLIC OF MACEDONIA
title_full_unstemmed TRANSACTION COSTS WITHIN THE INDIVIDUAL AND COOPERATIVE APPLE PRODUCERS IN PRESPA REGION, THE REPUBLIC OF MACEDONIA
title_short TRANSACTION COSTS WITHIN THE INDIVIDUAL AND COOPERATIVE APPLE PRODUCERS IN PRESPA REGION, THE REPUBLIC OF MACEDONIA
title_sort transaction costs within the individual and cooperative apple producers in prespa region the republic of macedonia
topic transaction cost economic theory
apples
cooperative
farmers
Republic of Macedonia
url https://ince.md/uploads/files/1518168567_5-angeloska-a-p.-45-54.pdf
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