Systemic weather risk is a major obstacle for the formation of private (nonsubsidized) crop insurance. This paper explores the possibility of spatial diversification of insurance by estimating the joint occurrence of unfavorable weather conditions in different locations. For that purpose copula...

In this study, we propose a new approach to estimating optimal dynamic cross-hedge ratios. In particular, we apply copula models to discuss the use of corn futures contracts to cross hedge grain sorghum, and the use of Kansas wheat futures contracts to cross hedge barley. Hedge (or cross-hedge)...

Paper removed at the request of the author. Please contact Ashok Mishra if questions (AMishra@agcenter.lsu.edu).