To meet the increasing global demand for renewable energy such as wind energy, more and more new wind parks are installed worldwide. Finding a suitable location, however, requires a detailed and often costly analysis of the local wind conditions. Plain average wind speed maps cannot provide a...

This article examines the efficiency of wind energy production. We quantify production losses in four wind parks across Germany for 19 wind turbines with non-convex efficiency analysis. In a second stage regression, we adapt the linear regression results of Kneip, Simar, Wilson (2014) to explain...

Weather risk is one of the main causes for income fluctuation in agriculture. Since 1997, the economic consequences of weather risk can be insured with weather derivatives, which are offered for many different weather events, such as temperature, rainfall, snow or hurricanes. It is well known...

Many business people such as farmers and financial investors are affected by indirect losses caused by scarce or abundant rainfall. Because of the high potential of insuring rainfall risk, the Chicago Mercantile Exchange (CME) began trading rainfall derivatives in 2011. Compared to temperature...

Forecasting temperature in time and space is an important precondition for both the design of weather derivatives and the assessment of the hedging effectiveness of index based weather insur-ance. In this article, we show how this task can be accomplished by means of Kriging techniques....

In usual pricing approaches for weather derivatives, forward-looking information such as meteorological weather forecasts is not considered. Thus, important knowledge used by market participants is ignored in theory. By extending a standard model for the daily temperature, this paper allows the...

Many business people such as farmers and financial investors are affected by indirect losses caused by scarce or abundant rainfall. Because of the high potential of insuring rainfall risk, the Chicago Mercantile Exchange (CME) began trading rainfall derivatives in 2011. Compared to temperature...

The continuous decline of commercial agricultural areas accompanied by a trend toward larger farms has increased competition for a scarce production factor in Germany: land. From 2000 to 2013, the purchase prices of agricultural land increased by 80 percent, according to the German Federal...

Analyzing the dynamics of structural change of an industry is a fundamental but challenging issue in economics. Accordingly, many attempts have been made to rationalize entry and exit decisions of firms, which, in total, appear as structural change of a sector. Among the most often hypothesized...

We analyze farmland prices in the German federal state of Brandenburg from 2000 to 2011 with the aim to understand the price formation process in farmland foreclosures. Pressured sales usually result in a price discount due to time constraints; however, the land is sold using public auctions....