Working Papers
  • Impediments to Provision of ‘Collective Goods' In Cooperatives- Some Case Studies From India And Iran
  • Author : Girish K Agrawal and Babak Lalfam
  • Jan-2017

Co-operative organisations play an important role in development since, by their very nature, they are expected to be democratic and inclusive. The literature is replete with evidence of co-operative organisations’ inability regarding matching the economic efficiency of other forms of organisations due to various problems including the inability of co-operatives to attain ideal cohesiveness of group members and democratic functioning. These organisational issues impede the provision of optimal amount of collective goods. We have explored the issue of provision and non-optimality of amount of collective goods by examining the size, type of collective goods, and exclusive behaviour with the help of a few select instances of seemingly better off co-operatives from India and Iran using parallels of member managed vs. professional employee managed co-operatives. The selected co-operatives have been over 30 and 50 years in operation. We have identified several hypotheses for further research.

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