TY - JOUR AU - Sisk, David E. AB - JOURNAL OF ECONOMIC ISSUES Vol. XVI No. I March 1982 dei The Cooperative Model versus Cooperative Organization David E. Sisk The modern treatment of the cooperative was introduced by Benjamin Ward and refined by Evsey Domar. Since those initial papers, others have extended the model and applied it to a wide variety of cooperative organizations. The model, however, represents a severely limited view of cooperative organization. The heart of the Ward-Domar model is the asĀ­ sumption that all members of the cooperative organization share equally in the organization's net revenue. The model is designed to derive the implications for resource allocation of that assumption, which is one of a class of assumptions implying that beyond some point an individual's share will decline even though net revenue is increasing. The problem of cooperative decision making as opposed to equal sharing is thrown to the side by simply assuming that members supply fixed amounts of labor and cooperate costlessly to maximize average net revenue. This astounding neglect of cooperative decision making has led to confusion in the analysis of cooperative organization. To illuminate the importance of this neglect, I consider three applications of the basic cooperative model: socialist collectives, endowed cooperatives, TI - The Cooperative Model versus Cooperative Organization JF - Journal of Economic Issues DO - 10.1080/00213624.1982.11503970 DA - 1982-03-01 UR - https://www.deepdyve.com/lp/taylor-francis/the-cooperative-model-versus-cooperative-organization-kRmmfCMmac SP - 211 EP - 220 VL - 16 IS - 1 DP - DeepDyve ER -