Institutions in livestock and its influence on the progress of soybeans in the Campanha Gaúcha – Brazil

Abstract:

Livestock production is a traditional activity in Rio Grande Sul, historically characterized by its exploitation in synergy with the natural fields of the Pampa Biome. However, in recent decades it has been a strong expansion of soybean crops in the Brazilian Pampas, leading to structural changes in the activity and way of the farmer “think”. From the theoretical perspective of Institutional Economics, these changes in the social and economic environment of livestock activity can be explained by the behavior of different institutions. Thus, the aim of this study was to analyze the institutions of livestock and their influence on the advancement of soybean in the Campanha Gaúcha region. The research had a descriptive and explanatory character from a quantitative approach. The method used was the survey, with a questionnaire applied to a sample of 95 farmers, 53 “traditional cattle farmers” and 42 “soy-cattle farmers”. Data analysis followed techniques of the exploratory factor analysis, student's t-test and multiple Tobit regression. As a result, four types of livestock institutions were identified: Economic Institutions, Organizational Institutions, Behavioral Institutions and Socio-Environmental Institutions. The Tobit model showed that the advance of soybeans in the region are influenced by economic motivations, while informal institutions, such as social and environmental habits and behavior patterns, repress the growth of agricultural crops on the farmers. As a contribution, this study sought to explain the institutional determinants of the recent expansion of soybean in Pampa Gaúcho, bringing elements capable of inducing policies of sustainable development and rural extension in this territory.

Keywords:
rural development; Institutional Economics; Agricultural Economics; institutionalism