Using a survey data of 700 traders, this study scrutinizes contract choices and enforcement for agricultural traders in China. This study finds that market service and environment are very important for both contract choices and enforcement. Better market service and environment can increase the...

Contracts are widely used by agricultural processors for purchasing inputs not only in developed countries but also in developing countries such as China. The total number of formal, written contracts between farmers and food processors is increasing rapidly in China, and the formal contracts...