| Registro completo |
| Provedor de dados: |
AgEcon
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| País: |
United States
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| Título: |
ANALYSIS OF THE RISK MANAGEMENT PROPERTIES OF GRAZING CONTRACTS VERSUS FUTURES AND OPTION CONTRACTS
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| Autores: |
Harrison, R. Wes
Bobst, Barry W.
Benson, Fred J.
Meyer, Lee
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| Data: |
2003-01-09
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| Ano: |
1996
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| Palavras-chave: |
Backgrounding
Futures contracts
Grazing contracts
Options contracts
Risk management
Risk and Uncertainty
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| Resumo: |
A stochastic budget simulator and generalized stochastic dominance are used to compare the risk management properties of grazing contracts to futures and option contracts. The results show that the risks of backgrounding feeder cattle are reduced significantly for pasture owners in a grazing contract. However, the risks of the cattle owner in a grazing contract are not significantly reduced. The results show that generally risk adverse pasture owners prefer grazing contracts to integrated production when traditional hedging is used to manage price risks. In addition, grazing contracts compare favorably with put option contracts for some pasture owners.
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| Tipo: |
Journal Article
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| Idioma: |
Inglês
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| Identificador: |
6710
http://purl.umn.edu/15117
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| Editor: |
AgEcon Search
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| Relação: |
Journal of Agricultural and Applied Economics>Volume 28, Number 02, December 1996
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| Formato: |
16
application/pdf
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