Quality Contingent Contracts : Evidence from Tanzania's Coffee Market

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dc.creatorMahdi, Shireen
dc.date2012-12-21T20:43:57Z
dc.date2012-12-21T20:43:57Z
dc.date2012-08
dc.date.accessioned2026-07-01T01:01:59Z
dc.descriptionThe literature on product quality in markets where product attributes are not readily observable indicates that information asymmetries and incentive problems may lead to the under-provision of quality. This paper contributes to this literature by estimating the effects of village-level contractual arrangements on producer incomes and on quality enhancing production practices. Three contract types are studied: spot contracts, contingent contracts with product grading and contingent contracts without product grading. To do this, the study uses original data from a survey of 450 coffee producers in Tanzania's coffee market that take advantage of contractual variation in the Kilimanjaro region. The results indicate that coffee contracts that include village-based product grading have a large positive effect on producer incomes, and that the grading effect is associated with production practices that enhance quality. The results also indicate that cooperative membership has no significant effect on producer incomes.
dc.formatapplication/pdf
dc.formattext/plain
dc.identifierhttp://documents.worldbank.org/curated/en/2012/08/16603775/quality-contingent-contracts-evidence-tanzanias-coffee-market
dc.identifierhttps://hdl.handle.net/10986/12018
dc.identifierhttps://doi.org/10.1596/1813-9450-6171
dc.identifier.urihttp://hdl.handle.net/123456789/414466
dc.languageEnglish
dc.languageen_US
dc.publisherWorld Bank, Washington, DC
dc.relationPolicy Research Working Paper;6171
dc.rightsCC BY 3.0 IGO
dc.rightshttp://creativecommons.org/licenses/by/3.0/igo/
dc.rightsWorld Bank
dc.subjectACCESS TO MARKETS
dc.subjectAGRICULTURAL MARKETS
dc.subjectANTITRUST
dc.subjectANTITRUST IMPLICATIONS
dc.subjectASYMMETRIC INFORMATION
dc.subjectAUCTION
dc.subjectBASIL
dc.subjectBUYER
dc.subjectCASH PAYMENT
dc.subjectCOFFEE
dc.subjectCOFFEE BEANS
dc.subjectCOFFEE BOARD
dc.subjectCOFFEE BUYERS
dc.subjectCOFFEE CROP
dc.subjectCOFFEE GROWERS
dc.subjectCOFFEE MARKET
dc.subjectCOFFEE PRODUCER
dc.subjectCOFFEE PRODUCERS
dc.subjectCOFFEE PRODUCTION
dc.subjectCOFFEE SECTOR
dc.subjectCOMMODITY
dc.subjectCOMPETITIVE MARKET
dc.subjectCONTRACT FARMING
dc.subjectCONTRACT FARMING ARRANGEMENTS
dc.subjectCONTRACT PERFORMANCE
dc.subjectCOOPERATIVE MARKETING
dc.subjectCOOPERATIVES
dc.subjectCROP
dc.subjectCROPS
dc.subjectDATA ANALYSIS
dc.subjectDATA PROCESSING
dc.subjectDEVELOPING COUNTRIES
dc.subjectDUMMY VARIABLE
dc.subjectECONOMIC DEVELOPMENT
dc.subjectECONOMIC THEORY
dc.subjectECONOMICS
dc.subjectEQUIPMENT
dc.subjectFAIR
dc.subjectFARM
dc.subjectFARMER
dc.subjectFARMERS
dc.subjectFERTILIZER
dc.subjectFOOD SECURITY
dc.subjectFREE PRESS
dc.subjectFREE RIDER PROBLEM
dc.subjectHOUSEHOLD INCOME
dc.subjectHUMAN DEVELOPMENT
dc.subjectIFPRI
dc.subjectINCENTIVE PROBLEMS
dc.subjectINFORMATION ASYMMETRIES
dc.subjectINSPECTION
dc.subjectINSTRUMENT
dc.subjectINTERNATIONAL BANK
dc.subjectINTERNATIONAL DEVELOPMENT
dc.subjectINTERNATIONAL FOOD POLICY RESEARCH INSTITUTE
dc.subjectINTERNATIONAL MARKET
dc.subjectLOCAL GOVERNMENT
dc.subjectMARKET ECONOMY
dc.subjectMARKET FAILURE
dc.subjectMARKET REFORMS
dc.subjectMARKET SHARE
dc.subjectMARKETING
dc.subjectOPEN ACCESS
dc.subjectOPPORTUNITY COSTS
dc.subjectORGANIC COFFEE
dc.subjectORGANIC PRODUCTION
dc.subjectOUTPUTS
dc.subjectPESTICIDE
dc.subjectPOLITICAL ECONOMY
dc.subjectPREMIUM PAYMENT
dc.subjectPRICE INCENTIVES
dc.subjectPRICE PREMIUM
dc.subjectPRODUCE
dc.subjectPRODUCER PRICE
dc.subjectPRODUCER PRICES
dc.subjectPRODUCT QUALITY
dc.subjectPRODUCTION PROCESSES
dc.subjectPRODUCTIVITY
dc.subjectPROPERTY RIGHTS
dc.subjectPURCHASING
dc.subjectQUALITY COFFEE
dc.subjectRENTS
dc.subjectRESULT
dc.subjectRESULTS
dc.subjectSALE
dc.subjectSALES
dc.subjectSMALL FARMERS
dc.subjectSPOT MARKET
dc.subjectSPOT MARKET TRANSACTIONS
dc.subjectSUPERMARKET
dc.subjectTOMATOES
dc.subjectTRANSACTION
dc.subjectTRANSACTION COST
dc.subjectTRANSACTION COSTS
dc.subjectTRANSMISSION
dc.subjectUSES
dc.subjectVALUE CHAIN
dc.subjectVALUE CHAINS
dc.subjectWEB
dc.titleQuality Contingent Contracts : Evidence from Tanzania's Coffee Market

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