Organization Department of Agricultural and Resource Economics, North Carolina State University, Manoyontchai Co. Ltd., Bangkok, Thailand

Year 2006

In this paper, a brief history of regulation of broiler contracts is presented. The main characteristic of these contracts has been that virtually all regulatory attempts on either federal or state levels have failed. Two possible sources of market failure that may justify regulation are identified: asymmetric bargaining power between integrators and contract growers and imperfect information.