Contracts and Quality in the California Winegrape Industry
We analyze the relationship between product quality and contracting choices using the results of a survey of California winegrape growers. Growers who produce high-quality grapes are more likely to use formal written contracts than are growers who produce low-quality grapes. Written contracts for high-quality grapes are more likely to include provisions regarding the production process, while written contracts for low-quality grapes are more likely to include explicit financial incentives for sugar content and other product attributes.
Year of publication: |
2003
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Authors: | Goodhue, Rachael E. ; Heien, Dale M. ; Lee, Hyunok ; Sumner, Daniel A. |
Published in: |
Review of Industrial Organization. - Springer. - Vol. 23.2003, 3_4, p. 267-282
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Publisher: |
Springer |
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