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TOWARDS MEASURING PRODUCER WELFARE UNDER OUTPUT PRICE UNCERTAINTY AND RISK NON-NEUTRALITY 31
Bullock, David S.; Shin, Kie-Yup; Garcia, Philip.
We combine theory with numerical integration methods to show that for any form of uncompensated supply, compensating variation of a change in higher moments of an output price distribution can be numerically derived.
Tipo: Conference Paper or Presentation Palavras-chave: Producer welfare; Price uncertainty; Risk; Demand and Price Analysis; Research Methods/ Statistical Methods; Risk and Uncertainty.
Ano: 1999 URL: http://purl.umn.edu/21713
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Measuring producer welfare under output price uncertainty and risk non-neutrality 31
Bullock, David S.; Garcia, Philip; Shin, Kie-Yup.
Procedures to measure the producer welfare effects of changes in an output price distribution under uncertainty are reviewed. Theory and numerical integration methods are combined to show how for any form of Marshallian risk-responsive supply, compensating variation of a change in higher moments of an output price distribution can be derived numerically. The numerical procedure enables measurement of producer welfare effects in the many circumstances in which risk and uncertainty are important elements. The practical ease and potential usefulness of the procedure is illustrated by measuring the producer welfare effects of USA rice policy.
Tipo: Article Palavras-chave: Price uncertainty; Risk non-neutrality; Welfare economics; Demand and Price Analysis; Risk and Uncertainty.
Ano: 2005 URL: http://purl.umn.edu/118434
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