FACTORS DETERMINING COLLECTIVE ACTION IN ALBANIAN AGRICULTURE: CASE OF APPLE PRODUCERS IN ALBANIA

Under the small farm size constraints, there is no better alternative to cooperation for Albanian agriculture. The objective if this study is to assess the impact of individuals’ and environmental characteristics on the likelihood of farmers’ cooperation in the major apple production area in Albania. Three regression models with binary qualitative dependent variable, namely Linear Probability Model, Logit Regression Model and Probit Regression Model have been used to test the hypothesis. Study results reveal the factors having a positive impact on farmers’ likelihood to cooperate are social capital, wealth and leadership. The results are of both theoretical and practical importance. Theoretically, study supports that social capital, farm size and leadership are particularly important in post communist transition agriculture. Practically, results benefits government agencies in two ways: better targeting of potential farmers groups, and improving preconditions for collective action through increasing the stock of social capital and designing and implementing leadership programs and long terms policies to increase farm size.