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Determinants of Return on Equity in U.S. Local Farm Supply and Grain Marketing Cooperatives

Published online by Cambridge University Press:  28 April 2015

Scott Boyd ,
Michael Boland ,
Kevin Dhuyvetter  and
David Barton
Scott Boyd
Affiliation:
Samuel Roberts Nobel Foundation in Ardmore, OK
Michael Boland
Affiliation:
Kansas State University, Manhattan, KS
Kevin Dhuyvetter
Affiliation:
Kansas State University, Manhattan, KS
David Barton
Affiliation:
Kansas State University, Manhattan, KS
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Abstract

Farm supply cooperatives are an important component of the retail agribusiness industry in the United States. The objective of this research is to identify financial variables that are determinants of return on equity in these cooperatives. Firm effects are important and their effect is the result of managerial decision making and director policy. The estimated coefficient on asset size was not statistically significant, suggesting that return on equity is invariant to size over this time period.

Keywords

agribusinesscooperativesfinancemanagementprofitabilityQ13Q14
Type
Articles
Information
Journal of Agricultural and Applied Economics , Volume 39 , Issue 1 , April 2007 , pp. 201 - 210
Copyright
Copyright © Southern Agricultural Economics Association 2007

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