Diversification is the traditional way farmers use to hedge against crop yield variations. However, most insurance policies and financial contracts do not take into account this strategy in their design. In this context, we develop a of portfolio insurance model based on area-yield crop indices....

This paper proposes a combination of participating and financial contracts in order to hedge catastrophic risk. Assuming unfair policies and the existence of a basis risk, we prove the optimal coverage is realized using: first, a participating contract, which covers the idiosyncratic part of the...

Purpose – The purpose of this paper is to examine a new insurance policy against natural disasters. Design/methodology/approach – The authors propose an optimisation model, which involves both the insurer and the farmer. The farmer decides to insure his farm if and only if insurance improves...

This article analyzes the consequences for risk distribution of the French Flood Prevention Action Programme (PAPI). By redirecting floods from the most vulnerable to the least vulnerable areas, PAPIs expose farmers to greater flood risks. This has led local water management institutions to...

Volatility of farm income represents a major challenge for farm management and the design of public policies. This paper measures the extent to which risk management tools, especially direct payments and crop insurance, can significantly reduce crop income volatility in France and in Italy. We...

Using data for 2002-2005 on a representative survey of French farms (FADN-RICA), we investigate the different factors that lead farmers to insure against crop risk. Our analysis takes into account a mix of both standard individual, financial and agricultural criteria. Cross-sectional and...

This article examines the determinants of chemical consumption by French winegrowers on an individual basis. We introduce criteria relating to the structure of vineyards and the financial situation of the winegrowers. Using data from the Farm Accountancy Data Network (FADN-RICA) for the period...

While the use of chemical inputs in agriculture is increasingly under debate, this article examines the determinants of their consumption by French wine-growers at an individual level. We introduce criteria relating to the structure of vineyards and to their financial situation. Using data from...

Alors que les pesticides deviennent un objet d’études privilégié en raison de leur caractère potentiellement néfaste, cet article s’intéresse aux exploitations qui appliquent un surdosage de leurs intrants. Nous étudions les facteurs qui conduisent certains viticulteurs à surdoser...

In this article, we explore the factors leading winegrowers to apply pesticide doses exceeding the official recommendations. Our approach is founded on an original methodology that determines practices of overdosing by matching four databases in 2006: the Farm Accountancy Data Network (FADN);...