A test for static equilibrium developed by Schankerman and Nadiri is used to evaluate the hypothesis that land and capital in aggregate southeastern U.S. agriculture behave as fixed inputs. Empirical results reject the hypothesis that these two inputs are at their long-run equilibrium levels...

This paper applies growth optimization with downside protection as a portfolio selection technique. The model is based on power-log utility functions that combine portfolio growth maximization with the behavioural tenets of prospect theory. We use three assets (a farm return index, a stock...

The economic literature has highlighted how in the absence of income insurance risk averse households may voluntarily withdraw from credit markets, since contract terms may transfer too much risk to the household (Boucher, Carter, and Guirkinger, 2007). Therefore, households may forgo activities...

The paper proposes a new disequilibrium approach to modeling international capital mobility. Key to this approach are errors in investors' assessments of potential returns to capital -- such as those recently observed in Asia. We use the model to study dynamic adjustment of North American farm...

The volatility of St. Louis cash corn bids by day-of-the-week is examined for the period September 1992 through August 1999. Thursday to Friday, Friday to Monday and Friday to Tuesday (with a holiday on Monday) price changes tend to be larger than other day-to-day changes.

This paper investigates, through a dynamic stochastic adjustment model the extent to which an active agricultural policy can be the source of volatility in agricultural investment. It is shown that noise in formulation of agricultural policy has adverse effects even in cases where earlier...

Estimates of the joint value of the timing and location options in the corn futures contract on the CBOT are obtained by using a multinomial diffusion process. The estimated option values will be used in a model to explain basis behavior on the first day of the maturity month.

Six depreciation methods were used to simulate the value of farm tractors with indexed and expected prices. Accuracy of simulated values was evaluated using paired t-tests of mean absolute percentage errors and forecast accuracy regression models. Results varied with age and use. Some...

This paper investigates the influence of board size and board diversity on the performance of Community Development Financial Institutions' operating in the Southeast. The results indicate that at present many CDFI boards are larger than optimal. The results also show that CDFIs generally have...