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News

 

October 10, 2020

New Project:

Our working group has recently started work on "KAUZ - Klima, Arbeit und Zukunft" - an international, joint project with the University of Bolzano (Italy) and the NGOs Common Future e.V. (Germany), Periskop (Austria) and Dante (Croatia), funded through the European Union through the Erasmus PLUS programme.

Project Summary

A network between three different institutions in Italy, Austria and Germany (the Free University of Bozen-Bolzano, Periskop and Common Future) will be established, of which all have experience in work with the concept of imperial mode of living. The team comprises experienced project-managers and young scientists and activists from these countries with lots of experience in education and NGO work.

The project will produce and disseminate reusable learning material for blended learning with workshops, podcast-series, short videos, and microlearning, as described in the following paragraphs. 

A profound education will be offered through three workshop programs for intensive training in cooperation with various organizations of the civil society. The first workshop will introduce participants to the concepts of the imperial and solidary mode of living, the second one discusses global value chains and the third will be decided participatory with the participants of the first training. With bringing people together in workshops we aim to develop alternatives and incite active citizenship.

 

October 05,2020

 

Recently Prof. Dr. Kopp and Richard J. Sexton (UC Davis) published their research paper, “Farmers, Traders, and Processors: Buyer Market Power and Double Marginalization in Indonesia”, on Early View in the American Journal of Agricultural Economics. Here is the link:  please visit website

Abstract:

Buyer market power can significantly reduce farm prices and incomes, making curtailment of such power a key strategy to improve rural livelihoods in emerging economies. A “double marginalization problem” occurs when market power is exercised at multiple stages in a supply chain. Although double marginalization has been studied extensively from a seller‐power perspective, the corresponding problem on the buyer‐power side has received scant attention. This paper addresses that lacuna through developing a vertical market model that allows buyer power to be exercised in local farmer–trader markets and also downstream at the trader–processor stage. We derive equilibrium results for output, prices, and economic welfare under alternative competition scenarios. The model is applied to the Indonesian rubber value chain by estimating the magnitude of buyer market power in farmer–trader and trader–processor interactions and quantifying the extent of welfare loss and redistribution of income among market participants due to double marginalization. Standard theory for seller double marginalization posits that it should be eliminated through vertical coordination within the supply chain. We conclude by discussing why such coordination may not occur within emerging‐economy supply chains and considering policy innovations to facilitate better coordination.

 

Suggested citation:

 

Kopp, Thomas and Richard Sexton, 2020: Farmers, Traders, and Processors: Buyer Market Power and Double Marginalization in Indonesia. American Journal of Agricultural Economics, Early View, p. 1-26. 

September 01, 2020 

At this year's GeWiSoLa (German association of agricultural economists) conference, two papers of our group will be presented;

- 23.09.2020, 09:00 - 12:15: Pre-conference Workshop: Don't bite the hand that feeds you: The Cannibalization of Food Pantries on Grocery Retailers (by  Prof. Dr.Thomas Kopp);

25.09.2020, 08:30 - 10:00: Don't bite the hand that feeds you: The Cannibalization of Food Pantries on Grocery Retailers (by  Prof. Dr.Thomas Kopp).

You can participate on this conference free. For registration,  please visit website

 

 

August 15, 2020 

Mrs. Nurmukhanmatova strengthens our team since August 2020 as a student assistant. Her responsibilities include data collection and cleaning, homepage maintenance, literature review and proofreading.

 

August 01, 2020 

The Journal for Economic Dynamics and Control published the following paper:
Kopp and Salecker: How traders influence their neighbours: Modelling social evolutionary processes and peer effects in agricultural trade networks.
https://www.sciencedirect.com/science/article/abs/pii/S0165188920301123