Many investment decisions of agribusiness firms such as when to invest in an emerging market or whether to expand the capacity of the firm involve irreversible investment and uncertainty about demand, cost or competition. This paper uses an option-value model to examine the factors affecting an...

Soybean production in the South has evolved over recent years from conventional soybean production systems (CSPS) in which soybeans are planted after May 1st to early soybean production systems (ESPS) in which soybeans are planted as early as mid-March. The shift was aided by the advent of...

This paper summarizes the results of a survey of a stratified, random sample of 630 hog operations in Indiana and Nebraska. The survey was conducted in March and April, 2000 with support of a research grant to contribute to the development of a knowledge base to guide the design and...

A variety of crop revenue insurance programs have recently been introduced. A critical component of revenue insurance contracts is quantifying the risk associated with stochastic prices. Forward-looking, market-based measures of price risk which are often available in form of options premia are...

Changes in the risk environment and tools available to manage risk have resulted in an increased need for risk management skills among farmers and ranchers. In response the USDA initiated a risk management education competitive grants program in the spring of 1998. This is the first report from...

Agricultural economists have for many decades concerned ourselves with gaining an understanding of individual behavior when confronted with risk, and developing tools to address decision-making under risk. This area of research has recently gained renewed attention for a variety of reasons. This...

The US commercial banking system has undergone dramatic consolidation. This consolidation has been in response to fundamental changes in regulation and technology. The banking and finance literature is abound with research attempting to quantify and evaluate a wide range of outcomes arising from...

Knowledge plays an important role in firm decision making as it involves the selection of technological systems and understanding and executing technologies that are implemented. Knowledge management therefore is a learning behavior which is undertaken to acquire additional knowledge and improve...

Commodity futures can supply fair investment return and unique diversification benefits to a portfolio manager. The relative performance between commodity futures and traditional financial assets is varied with business and market conditions. In general, commodity futures are negatively...

This study analyzed a pilot insurance program for pastures, rangeland, and forage called Rainfall Index (RI-PRF). It is designed as a risk management tool to insure against declines in the accumulated rainfall index within a geographic grid. Although conceptually RI is an easy to understand risk...