Data/hora: 12/06/2024 16:10:32

Provedor de dados: | 31
País: | United States
Título: | AN EX ANTE ASSESSMENT OF INVESTMENTS IN TEXAS GRAPEFRUIT UNDER UNCERTAINTY
Autores: | Elmer,   Nicole A.; Thurow,   Amy Purvis; Johnson,   Jason L.; Rosson,   C. Parr, III.
Data: | 2005-06-21
Ano: | 2001
Palavras-chave: | Citrus; Ex ante analysis; Dixit-Pindyck model; Freezes; Investment; Simulation; Texas; Trade; Crop Production/Industries.
Resumo: | The Dixit-Pindyck model was applied to examine the hypothesis that uncertainty associated with grapefruit production costs and returns is an important determinant of Texas grapefruit growers' investment behavior.  Freezes, price variability, and the effects of expanded trade were analyzed as risk factors.  An investment decision rule based on a net-present value calculation would approve a 25-year commitment to a 20-acre grapefruit grove, given a 6-percent discount rate.  The modified hurdle rate, calculated using an ex ante version of the Dixit-Pindyck model, is 24 percent.  The major source of the risk borne by Texas grapefruit investors is from freezes, rather than from expanded trade.
Tipo: | Journal Article
Idioma: | Inglês

Identificador:

16717

http://purl.umn.edu/15451

Editor: | AgEcon Search
Relação: | Journal of Agricultural and Applied Economics&gt;Volume 33, Number 03, December 2001

Formato:

11

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