By altering the probability distribution of farm income, crop insurance programs affect farmer's input use decision. Ramaswami's (1993) one-shock model analyzed the effect of the crop insurance on single input use by allowing the randomness of yield while keeping price constant in revenue...

The vast majority of previous studies on farmers' optimal risk management behavior have used static models and on the most part ignored use of borrowing and lending as an alternative method of managing risk In this paper we develop a stylized multi-period risk management model for a risk averse...

Capital budgeting decisions faced by tart cherry producers often challenge our traditional valuation techniques. Real Options Valuation (ROV) methods may be useful but assumptions of existing ROV approaches are restrictive and, in some cases, unrealistic. In this paper we assert that use of...

The focus of this paper is on outlining the procedures used to estimate the premium rates for the Adjusted Gross Revenue (AGR) insurance plan. The AGR rating procedures draw substantially on rating procedures used in products currently reinsured and subsidized by Risk Management Agency/USDA...

In response to stagnating yields and mounting pest problems, Michigan potato growers are investigating ways to bring manure and cover crops back into potato production systems. The alternative systems bring benefits and costs for monetary net returns, the variability of net returns, and...

The article investigates the existence of market externalities due to increasing returns to marketing. Panel data on 198 pairs of maize markets in Zambia and correlated random effects linear and tobit estimators were used to model the relationship between market externalities and...

This paper determines the effect of market reform and price decontrol on the size of maize milling/retail margins in South Africa. Regression models of monthly milling/retail margins are run over the period May 1976 to September 2003. To assess the robustness of our findings, we estimate several...

The Government of Kenya pursues maize marketing policy objectives through the National Cereals and Produce Board (NCPB) which procures and sells maize at administratively determined prices, and stores maize as a contingency against future shortages. A private sector marketing channel competes...

This study estimates the effects on poverty resulting from maize price changes associated with the operations of the maize marketing board in Kenya. We consider both supply and demand responses and the accompanying adjustments in rural labor markets in estimating a second order approximation to...

Replaced with revised version of paper 06/30/08.