scholarly journals Asymmetric Information, Transaction Costs, and Farmers Decision To Participate In Tobacco Voor-Oogst Kasturi Contract Farming

Agro Ekonomi ◽  
2021 ◽  
Vol 32 (2) ◽  
Author(s):  
M Rondhi
Keyword(s):  
Decision Making ◽  
Asymmetric Information ◽  
Transaction Costs ◽  
Market Failure ◽  
Information Costs ◽  
Related Factors ◽  
Transfer Product ◽  
Long Time ◽  
Additional Costs ◽  
Land Size

Contracts participation between tobacco farmers and traders is still low even benefit of contract is huge. This is related to factors that affect to the contract, demographics, farm characteristic, and other related factors.  Contracts that initially became a tool to prevent market failure because it regulates how economic actors act against other, turns out to cause transaction costs as a result of asymmetric information that makes the contract does not function ideally. Therefore, this study attempts to explain asymmetry information during the transfer product and the potential transaction costs incurred using the New Institutional Economy approach. Beside that, this study also attemps to explain factors that underlie farmers decision making partnership, that were analized by using the analyst logistic regression.Respondents in this study were 100 respondents, 50 tobacco contract farmers, and 50 independent farmers from December 2018 through January 2019. The results showed that asymmetric information caused adverse selection and moral hazard, as many as 30% farmers had sold products to other parties and 8% of farmers had used pesticides that prohibited by traders. Contracts that are not ideal due to asymmetric information must be re-enforced by using additional costs called transaction costs which are divided into three typess, namely search and information costs, cost to design, negotiate and conclude and the monitor and contract enforcement costs. Monitoring costs have the potential to absorb the largest portion compared to other types of transaction costs. The greater the asymmetric information generated, the greater the transaction costs incurred. Then the factors that significantly influence the decision making of tobacco farmers to partnership are long time farming experience, land size, risk aversion level, certainty of price and source of capital.

On the Optimal Number of Contract Types

2019 ◽  
Vol 20 (2) ◽  
pp. 487-510
Author(s):  
Oren Bar-Gill ◽  
Clayton P. Gillette
Keyword(s):  
Political Economy ◽  
Transaction Costs ◽  
Infinite Number ◽  
Market Failure ◽  
Optimal Number ◽  
Access To Information ◽  
Market Failures ◽  
Information Costs ◽  
Contract Type ◽  
Optimal Quantity

Abstract The theoretical availability of an infinite number of contract types suggests that there may be an optimal quantity from which contractual parties could make a selection. In this Article, we emphasize the difficulty of identifying that optimal number, given information costs and other transaction costs related to the production of a contract type. We argue that standard market failures might cause markets to produce a suboptimal number of contract types. We then consider whether government should intervene to remedy any market failure. We conclude that government would generally lack the access to information necessary to identify the optimal number of contract types. Moreover, we argue that issues of political economy would impede the ability of government to achieve the optimal number of contract types, even if it were able to identify that number. Government, that is, may tend to either oversupply or undersupply contract types. Perhaps the best that government can do is to provide “soft” interventions that reflect appropriate defaults or safe harbors.

The agistment market in the northern Australian rangelands: failings and opportunities

2008 ◽  
Vol 30 (3) ◽  
pp. 283 ◽  
Author(s):  
A. F. Reeson ◽  
R. R. J. McAllister ◽  
S. M. Whitten ◽  
I. J. Gordon ◽  
M. Nicholas ◽  
...  
Keyword(s):  
Asymmetric Information ◽  
Economic Analysis ◽  
Failure Analysis ◽  
Transaction Costs ◽  
Market Failure ◽  
Market Performance ◽  
The Other ◽  
Key Issues

Agistment is the practice of temporarily moving stock between properties, and is used by pastoralists both to strategically develop their enterprises and as a response to environmental heterogeneities such as variation in rainfall. This paper considers the agistment market in the northern Australian rangelands using the ‘market failure framework’. This form of economic analysis identifies failings in a market, thus, provides a rigorous basis for designing interventions intended to improve market performance. Drawing on interviews with pastoralists from the Dalrymple Shire in Queensland we conclude that, although agistment is widely used, there are several failings in the existing market which are likely to result in overall agistment activity being far less than optimal. The market failure analysis indicates that key issues relate to the lack of a common marketplace, asymmetric information on the characteristics of the other party in an agreement, and a lack of mutual expectations at the outset. Innovations with the potential to overcome these failings, while minimising the transaction costs involved in entering an agistment agreement, are discussed.

Kegunaan Informasi Akuntansi dalam Pengambilan Keputusan Internal oleh Unit Akuntansi Kuasa Pengguna Anggaran (UAKPA)

2017 ◽  
Vol 2 (4) ◽  
pp. 73-91
Author(s):  
Karno Pandu Wibowo
Keyword(s):  
Decision Making ◽  
Accounting Information ◽  
Information Use ◽  
External Factors ◽  
Accrual Accounting ◽  
Related Factors ◽  
Internal Factors ◽  
Level Of Use ◽  
Accrual Basis ◽  
Cash Basis

This study aims to determine the usefulness level of accounting information (on cash basis and accrual basis) in central goverment agencies internal decision-making process. In addition, this study also aims to determine the influence of the organization’s external factors, the organization's internal factors and Individual Actor’s Characteristic Related Factors on the level of use of accounting information in central goverment agencies internal decision making.The research show that  level of accrual accounting information use in the context of internal decision making is high. In addition it showed differences between  level of cash-based accounting information use and accrual-based accounting information use. This study also addressed that the organization’s external factors, the organization's internal factors and individual actor’s characteristic related factors significantly influence both level of accounting information use  on cash basis and accrual basis in the internal decision-making. Except for the organization’s external factors  did not significantly affect the level of accrual accounting information use  in the internal decision-making.   Abstrak Penelitian ini bertujuan untuk mengetahui tingkat kegunaan informasi akuntansi (berbasis kas dan akrual) dalam proses pengambilan keputusan internal Unit Akuntansi Kuasa Pengguna Anggaran (UAKPA). Selain itu penelitian ini juga bertujuan untuk mengetahui pengaruh faktor eksternal organisasi, faktor internal organisasi dan faktor karakteristik individu pengguna terhadap tingkat penggunaan informasi akuntansi dalam pengambilan keputusan internal Unit Akuntansi Kuasa Pengguna Anggaran (UAKPA).Temuan peneliti menunjukan bahwa tingkat penggunaan informasi akuntansi berbasis akrual tinggi dalam rangka pengambilan keputusan internal. Selain itu penelitian menunjukan adanya perbedaan tingkat penggunaan antara informasi akutansi berbasis kas dan informasi akutansi berbasis akrual. Penelitian juga menujukan bahwa faktor eksternal organisasi, faktor internal organisasi dan faktor karakteristik individu pengguna berpengaruh signifikan terhadap tingkat penggunaan informasi akuntansi (berbasis kas dan akrual) dalam pengambilan keputusan internal. Kecuali untuk faktor eksternal organisasi tidak berpengaruh signifikan terhadap tingkat penggunaan informasi akuntansi akrual dalam pengambilan keputusan internal.

scholarly journals Application of Interval Fuzzy Logic in Selecting a Sustainable Supplier on the Example of Agricultural Production

Symmetry ◽  
2021 ◽  
Vol 13 (5) ◽  
pp. 774
Author(s):  
Adis Puška ◽  
Miroslav Nedeljković ◽  
Sarfaraz Hashemkhani Zolfani ◽  
Dragan Pamučar
Keyword(s):  
Decision Making ◽  
Fuzzy Logic ◽  
Asymmetric Information ◽  
Agricultural Production ◽  
Complete Information ◽  
Sustainable Supply Chain ◽  
Sustainability Criteria ◽  
Criteria Importance ◽  
Selection Of ◽  
Economic Criteria

The selection of sustainable suppliers (SSS) is the first step in applying a sustainable supply chain and sustainable production. Therefore, it is necessary to select the supplier that best meets the set sustainability criteria. However, the selection of suppliers cannot be done by applying symmetric information, because the company does not have complete information, so asymmetric information should be used when selecting suppliers. Since the SSS applies three main sustainability criteria, environmental, social, and economic criteria, this decision-making problem is solved by applying multi-criteria decision-making (MCDM). In order to solve the SSS for the needs of agricultural production, interval fuzzy logic was applied in this research, and six suppliers with whom agricultural pharmacies in Semberija work were taken into consideration. The application of interval fuzzy logic was performed using the methods PIPRECIA (Pivot pairwise relative criteria importance assessment) and MABAC (Multi-Attributive Border Approximation Area Comparison). Using the PIPRECIA method, the weights of criteria and sub-criteria were determined. Results of this method showed that the most significant are economic criteria, followed by the social criteria. The ecological criteria are the least important. The supplier ranking was performed using the MABAC method. The results showed that supplier A4 best meets the sustainability criteria, while supplier A6 is the worst. These results were confirmed using other MCDM methods, followed by the sensitivity analysis. According to the attained results, agricultural producers from Semberija should buy the most products from suppliers A4, in order to better apply sustainability in production. This paper showed how to decision make when there is asymmetric information about suppliers.

scholarly journals Development of a prognostic tool: based on risk factors for tooth loss after active periodontal therapy

2021 ◽  
Author(s):  
Sonja Rahim-Wöstefeld ◽  
Dorothea Kronsteiner ◽  
Shirin ElSayed ◽  
Nihad ElSayed ◽  
Peter Eickholz ◽  
...  
Keyword(s):  
Risk Factors ◽  
Decision Making ◽  
Tooth Loss ◽  
Treatment Plan ◽  
Periodontal Therapy ◽  
Outcome Variable ◽  
Individual Treatment ◽  
Risk Indicator ◽  
Related Factors ◽  
Prognostic Tool

Abstract Objectives The aim of this study was to develop a prognostic tool to estimate long-term tooth retention in periodontitis patients at the beginning of active periodontal therapy (APT). Material and methods Tooth-related factors (type, location, bone loss (BL), infrabony defects, furcation involvement (FI), abutment status), and patient-related factors (age, gender, smoking, diabetes, plaque control record) were investigated in patients who had completed APT 10 years before. Descriptive analysis was performed, and a generalized linear-mixed model-tree was used to identify predictors for the main outcome variable tooth loss. To evaluate goodness-of-fit, the area under the curve (AUC) was calculated using cross-validation. A bootstrap approach was used to robustly identify risk factors while avoiding overfitting. Results Only a small percentage of teeth was lost during 10 years of supportive periodontal therapy (SPT; 0.15/year/patient). The risk factors abutment function, diabetes, and the risk indicator BL, FI, and age (≤ 61 vs. > 61) were identified to predict tooth loss. The prediction model reached an AUC of 0.77. Conclusion This quantitative prognostic model supports data-driven decision-making while establishing a treatment plan in periodontitis patients. In light of this, the presented prognostic tool may be of supporting value. Clinical relevance In daily clinical practice, a quantitative prognostic tool may support dentists with data-based decision-making. However, it should be stressed that treatment planning is strongly associated with the patient’s wishes and adherence. The tool described here may support establishment of an individual treatment plan for periodontally compromised patients.

scholarly journals Multicriteria Decision Making Model for the New Team Member Selection Based on Individual and Group-Related Factors

2011 ◽  
Vol 3 (2) ◽  
pp. 103-114
Author(s):  
Jakub Wojnar
Keyword(s):  
Decision Making ◽  
Team Member ◽  
Team Building ◽  
Multicriteria Decision Making ◽  
Individual Characteristics ◽  
Related Factors ◽  
Multicriteria Decision ◽  
Novel Approach ◽  
Member Selection ◽  
Decision Making Model

Multicriteria Decision Making Model for the New Team Member Selection Based on Individual and Group-Related FactorsThis paper presents a novel approach to the team building emphasizing group-related attributes of potential candidates instead of focusing on their individual characteristics during the recruitment process. The main assumption is that the teamwork capabilities are equally if not more important than individual skills or competences when selecting new team member. Myers-Briggs Type Indicator is used for analyzing teamwork capabilities and multicriteria decision making model will be developed as a final solution.

scholarly journals An analysis of urban renewal decision-making in China from the perspective of transaction costs theory: the case of Chongqing

2020 ◽  
Vol 35 (4) ◽  
pp. 1177-1199
Author(s):  
Taozhi Zhuang ◽  
Queena K. Qian ◽  
Henk J. Visscher ◽  
Marja G. Elsinga
Keyword(s):  
Decision Making ◽  
Transaction Costs ◽  
Urban Renewal ◽  
Municipal Government ◽  
Analytical Framework ◽  
Adverse Outcomes ◽  
Policy Implications ◽  
Stakeholder Groups ◽  
High Level ◽  
The Empirical Analysis

Abstract In China, there is a growing number of urban renewal projects due to the rapid growth of the economy and urbanization. To meet the needs of urban development, urban renewal requires a sound decision-making approach involving various stakeholder groups. However, current urban renewal decision-making is criticized for poor efficiency, equity, and resulting in many unintended adverse outcomes. It is claimed that high-level transaction costs (e.g., a great deal of time spent on negotiation and coordination) are the factors hidden behind the problems. However, few studies have analyzed urban renewal decision-making in a transaction costs perspective. Using the case of Chongqing, this paper aims at adopting transaction costs theory to understand the administrative process of urban renewal decision-making in China. This research focuses on four key stakeholder groups: municipal government, district government, local administrative organizations, and the consulting parties. A transaction costs analytical framework is established. First, the decision-making stages of urban renewal and involved key stakeholder groups are clarified. Second, the transactions done by different stakeholder groups in each stage is identified, thus to analyze what types of transaction costs are generated. Third, the relative levels of transaction costs among different stakeholder groups were measured based on the interview. The empirical analysis reveals how transaction costs occur and affect urban renewal decision-making. Finally, policy implications were proposed to reduce transaction costs in order to enhance urban renewal.

scholarly journals Sistem Pendukung Keputusan Pemilihan Tenaga Kerja Indonesia (TKI) Berdasarkan Kualitas Untuk Menentukan Tempat Kerja Menggunakan Metode Profile Matching (Studi Kasus: PT Adila Prezkifarindo Duta)

2020 ◽  
Vol 1 (2) ◽  
pp. 142
Author(s):  
Dasarius Gulo
Keyword(s):  
Decision Making ◽  
Migrant Workers ◽  
Selection Process ◽  
Matching Method ◽  
Matching Process ◽  
Profile Matching ◽  
Long Time ◽  
Support Decision Making ◽  
Selection Of ◽  
The Ideal

In the process of selecting Indonesian Workers (TKI) based on quality at PT. Adila Prezkifarindo Duta is classified as still manual, where there is not yet a system for selecting quality migrant workers so it requires a long time for its assessment and the selection process is less effective. To support decision making in the selection of qualified Indonesian Workers (TKI) to make it easier by using a decision support system. One method used in the selection of qualified Indonesian Workers is the Profile Matching method. The profile matching method is a decision-making mechanism by assuming that there is an ideal level of predictor variables that must be met by applicants, rather than the minimum level that must be met or passed. In the profile matching process a process will be compared between individual competencies into standard competencies so that different competencies can be identified (also called Gap). The smaller the gap produced, the greater the weight value. In matching this profile, the selected TKI candidates are Indonesian Workers who are closest to the ideal profile of a qualified TKI.

scholarly journals How Africa Should Engage Ubuntu Ethics and Artificial Intelligence

2020 ◽  
Vol 2 (4) ◽  
pp. 20-25
Author(s):  
Simon K. Langat ◽  
Pascal M. Mwakio ◽  
David Ayuku
Keyword(s):  
Artificial Intelligence ◽  
Decision Making ◽  
Human Society ◽  
Communitarian Ethics ◽  
Global Organization ◽  
The World ◽  
New Thinking ◽  
Long Time

Automation of human tasks has taken place for a long time now. Humans have in earlier periods dreamed of a world where machines capable of mimicking decision making would be created with some works of fiction describing in caricature, how machines would take over the human space in the world. Artificial intelligence has come to fruition in the last few decades following the development of fast computing capability and vast chip memory. Discussions of how the human space will look and feel when artificial intelligence have taken place at various levels of global organization geared towards ensuring that the new “thinking machines” do not rock human society in ways to render them obsolete. This article looks at the ethics of AI considering the issues that have been outlined by others in the light of communitarian ethics as seen in Africa. It describes the possible impact of thinking machines on society and how individuals would relate with each other and with AI systems.

scholarly journals BEHAVIORAL FINANCE DAN PENGARUHNYATERHADAP PENGAMBILAN KEPUTUSAN HUTANG (Studi Pada Usaha Kecil Dan Menengah (UKM) di Pulau Lombok )

2018 ◽  
Vol 7 (1) ◽  
pp. 1
Author(s):  
Siti Aisyah Hidayati ◽  
Sri Wahyulina ◽  
Embun Suryani
Keyword(s):  
Decision Making ◽  
Behavioral Finance ◽  
College Graduates ◽  
Illusion Of Control ◽  
Statistical Tools ◽  
Level Of Education ◽  
Long Time ◽  
Question Form ◽  
Age Of Majority ◽  
Selection Of

This research aims to analyze: 1) The effect of overconfidence against debt decision-making on SME’s, 2) The Effect of the illusion of control against debt decision-making on SME’s, 3) The effect of availability against debt decision-making on SME’s.This research is a research-based approach to quantitative, with this type of research is explanatory research. The population of the research was all SME’s that are located on the island of Lombok. The technique of sampling done with Non probability sampling, i.e. using judgement sampling i.e. selecting SME’s engaged in pottery industry and already exports. Of the population, there are 35 (thirty five) SME’s which can be taken as a sample. The respondents in this study was a financial manager at the same time as the owner of each such SME’s. Data collection techniques used in this research is to use the question form. To achieve the research objectives and hypothesis testing, then the data acquired will be processed according to your needs by using statistical tools GSCA (Generalized Structured Component Analysis).The results showed: 1) Overconfidence has no significant effect on decision-making on debt undertaken by owner Managers, 2) Illusion of Control has significant effect on decision-making on debt undertaken by the SME owner managers, 3) Avaibility has no significant effect on decision-making on debt undertaken by the SME owner managers. This shows the SME’s managers in the selection of a rational debt as a source of funding. The rational attitude effected by the characteristics of respondents who was the Manager of the SME’s owner, i.e., the age of majority SME’s managers are still productive ranged from 37 to 54 years of age, mostly female, with a level of education mostly high school and college graduates, as well as long time effort over 10 years. Keywords: overconfidence, illusion of control, avaibility, decision making of debt

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