This paper develops and applies a methodology to assess the accuracy of historical loss-cost rating procedures, similar to those used by the U.S. Department of Agriculture’s Risk Management Agency (RMA), versus alternative parametric premium estimation methods. It finds that the accuracy...

Topic Relevance Foliar diseases often reduce grain yields of winter wheat in the southern Great Plains, with some individual year yield losses in excess of 10%. At current prices, the gross value of these losses for the region could exceed a quarter of a billion dollars annually. Historically,...

Field experiments were conducted with farmers in the Limarí Valley of Chile to test extant theory on right-to-choose auctions. Water volumes that differed by reservoir source and time of availability were offered for sale by the research team. The auctions were supplemented by protocols to...

The existing literature on dynamic efficiency is deterministic and ignores uncertainty when deriving dynamic efficiency measures, even though it is known that uncertainty affects the optimal adjustment path and the optimal use of quasi-fixed factors. Here, we contribute to closing this gap by...

In this analysis we compare the total expected government outlays and distribution of benefits under newly proposed dairy margin insurance programs to those under existing counter-cyclical payment programs. We combine simulation and structural modeling techniques to forecast milk price and dairy...

This paper examines the effect of Canadian agricultural business risk management (BRM) programs on farm financial performance. Monte Carlo simulation is used to model stochastic prices and production for a representative Alberta cropping operation. Net present value (NPV) analysis is used to...