The residual erosion of farmers cooperatives and its causes from the perspective of ordinary members

Recently, the residual erosion has become a constraint on the healthy growth and standardized development of farmer cooperatives. Exploring the phenomenon of residual erosion in order to find strategies for the sustainable development of farmers cooperatives has important theoretical and practical significance for increasing farmers income and promoting agricultural and rural development. Based on a field survey data of 480 ordinary members of farmers cooperatives in Gansu Province and applying the income distribution theory and the property right theory, this paper analyzed the causes of residual erosion of farmers cooperatives by the Logit regression model from the perspective of ordinary members. Results show that 20.83% of ordinary members of the cooperatives said that no surplus was returned, 30.63% of ordinary members said they never exercised their voting rights. And 20.63%, 18.96% and 34.79% of cooperative members reported phenomena of private possession of trading commissions, misappropriation assets of cooperatives, and guarantees for others, respectively, which damaged the interests of ordinary members. Farmers cooperatives generally had a different degree of residual erosion. The relationship between ordinary members and cooperatives, whether holding shares, and the purpose of joining cooperatives have significant impacts on the residual erosion of cooperatives. Ordinary members do not pay attention to or participate in the operation and management of cooperatives, and cannot form effective supervision, which leads to the residual erosion of cooperatives by managers. Therefore, the policies should guide the improvement of the distribution system, clarify the ownership of internal property rights, and strengthen social service functions to improve the awareness of cooperatives and to protect the interests of ordinary members.