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Registros recuperados: 31
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CROP PRODUCER RISK MANAGEMENT SURVEY: A PRELIMINARY SUMMARY OF SELECTED DATA; A REPORT FROM THE UNDERSTANDING FARMER RISK MANAGEMENT DECISION MAKING AND EDUCATIONAL NEEDS RESEARCH PROJECT AgEcon
Coble, Keith H.; Knight, Thomas O.; Patrick, George F.; Baquet, Alan E..
Changes in the risk environment and tools available to manage risk have resulted in an increased need for risk management skills among farmers and ranchers. In response the USDA initiated a risk management education competitive grants program in the spring of 1998. This is the first report from one of the grant-funded projects. The project's primary objective is to provide supporting research that will contribute to the design and implementation of effective risk management education programs, policies and tools. This report provides selected summary statistics, without analysis, from a survey of crop producers conducted as part of the first phase of the project. Over 1,800 usable producer responses from Mississippi, Texas, Indiana, and Nebraska are...
Tipo: Working or Discussion Paper Palavras-chave: Risk Insurance Marketing Policy; Risk and Uncertainty.
Ano: 1999 URL: http://purl.umn.edu/15805
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ACTUARIAL EFFECTS OF UNIT STRUCTURE IN THE U.S. ACTUAL PRODUCTION HISTORY CROP INSURANCE PROGRAM AgEcon
Knight, Thomas O.; Coble, Keith H..
This paper examines the effects of optional subdivision on APHP losses for wheat, corn, and soybeans. Thirty-seven state/crop programs are analyzed and the implications of the results are discussed in relation to newly developed crop and revenue insurance programs. The results illustrate the importance of incorporating actuarial experience into the premium rate structure and contract provisions of an insurance program.
Tipo: Journal Article Palavras-chave: Actual Production History Program (APHP); Crop insurance programs; Risk and Uncertainty.
Ano: 1999 URL: http://purl.umn.edu/15150
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Farm Income Variability and the Supply of Off-Farm Labor by Limited-Resource Farmers AgEcon
Vergara, Oscar; Coble, Keith H.; Patrick, George F.; Knight, Thomas O.; Baquet, Alan E..
We study the relationship between the off-farm labor decision and the limited-resource farmers’ and spouses’ off-farm experience, education, and sources of income. We found that farmers’ and spouses’ off-farm experience and wages are significant factors in explaining the off-farm labor supply decision. Contrary to expectations, farm income variability is not significant in the farmers’ and spouses’ decision to see off-farm work. The off-farm labor supply of farmers and their spouses is negatively correlated with income transfers from the government. It was also found that the spouse is a residual supplier of on-farm and off-farm labor.
Tipo: Journal Article Palavras-chave: Farm income variability; Limited-resource farmer; Off-farm work; Tobit regression; C34; D19; D81; J15; Q18.
Ano: 2004 URL: http://purl.umn.edu/43394
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ESTIMATING THE VALUE OF THE 0/92 REDUCED PLANTING ALTERNATIVES OF THE 1985 FARM BILL FOR FARM PROGRAM PATICIPANTS AgEcon
Thompson, Troy N.; Knight, Thomas O.; Boren, Billy D..
The 50/92 and 0/92 reduced planting alternatives of the 1985 farm bill allow farm program participants more flexibility in making production decisions. Specifically, these provisions relax the incentive to produce inherent in earlier commodity programs that linked deficiency payments directly to harvested acreage. This study examined the value of this additional decision flexibility for crop producers in the Blacklands of Central Texas. The results suggest that the reduced planting alternatives would not be used by, and have no value for risk neutral producers, but have substantial value for risk averse producers who would reduce planted acreage in years when yield expectations are low.
Tipo: Journal Article Palavras-chave: Agricultural and Food Policy.
Ano: 1990 URL: http://purl.umn.edu/30010
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Risk Management Education: An Examination of Crop Producers' Participation in Recent Programs and of Their Desire for Additional Training AgEcon
Knight, Thomas O.; Coble, Keith H.; Patrick, George F.; Baquet, Alan E..
Risk management education has been a focus of U.S. farm policy since 1996. In support of significant ongoing United States Department of Agriculture (USDA) educational efforts, this study examines agricultural producers’ educational needs and interests. Data obtained through a survey of crop producers are used in probit models examining interest in additional training in five areas including forward contracting, futures and options, crop yield insurance, crop revenue insurance, and financial management. The study results should be useful in determining appropriate risk management education program content and in indentifying and tailoring to specific target audiences.
Tipo: Journal Article Palavras-chave: Commodity futures; Commodity options; Crop insurance; Forward contracting; Risk management; D81; D83; Q16.
Ano: 2003 URL: http://purl.umn.edu/43164
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Target Markets for Grain and Cotton Marketing Consultants and Market Information Systems AgEcon
Vergara, Oscar; Coble, Keith H.; Hudson, Darren; Knight, Thomas O.; Patrick, George F.; Baquet, Alan E..
This paper examines the use of market consultants and market information systems by grain and cotton producers. A model of producer demand for marketing information and consultants is proposed that decomposes price received into exogenous and endogenous components. The analysis is based on a survey of over 1,600 producers. The results suggest that expenditures on market information systems and market consultants are not independent and, more specifically, expenditures on marketing consultants substitute for expenditures on market information systems.
Tipo: Journal Article Palavras-chave: Expected utility; Market information; Marketing; Risk; Tobit; Marketing.
Ano: 2005 URL: http://purl.umn.edu/30780
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Economic Analysis of Supplemental Deductible Coverage as Recommended in the USDA’s 2007 Farm Bill Proposal AgEcon
Mitchell, Paul D.; Knight, Thomas O..
A primary change to crop insurance contained in the USDA's Farm Bill Proposal is Supplemental Deductible Coverage (SDC). SDC would allow farmers who purchase individual crop insurance coverage to purchase GRP in the amount of the individual policy deductible. GRP indemnities would be accelerated compared with the current GRP policy. Analysis indicates that SDC provides substantial benefits in terms of certainty equivalent gains. The largest benefits are realized by low risk farmers, compared to others in the county, and farmers whose yields are highly correlated with the county yield. Optimal individual policy coverage levels generally decrease when SDC is taken.
Tipo: Working or Discussion Paper Palavras-chave: Agricultural and Food Policy.
Ano: 2007 URL: http://purl.umn.edu/92125
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Economic Analysis of Supplemental Deductible Coverage as Recommended in the USDA's 2007 Farm Bill Proposal AgEcon
Mitchell, Paul D.; Knight, Thomas O..
A primary change to crop insurance contained in the USDA’s Farm Bill proposal is supplemental deductible coverage (SDC). SDC would allow farmers who purchase individual crop insurance coverage to purchase area-wide coverage in the amount of the individual policy deductible. This supplemental area-wide coverage would be similar to the existing Group Risk Plan policy, but with an accelerated indemnity schedule. Analysis indicates that SDC increases farmer certainty equivalents. The largest benefits are realized by farmers with high yield potential in counties with greater systemic risk. In general, optimal individual policy coverage levels modestly decrease when SDC is taken.
Tipo: Journal Article Palavras-chave: Crop insurance; Area-wide coverage; Actual production history (APH); Group risk plan (GRP); Yield distribution; Risk and Uncertainty.
Ano: 2008 URL: http://purl.umn.edu/44743
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Evaluation of Crop Insurance Yield Guarantees and Producer Welfare with Upward Trending Yields AgEcon
Adhikari, Shyam; Knight, Thomas O.; Belasco, Eric J..
Actual Production History (APH) yields play a critical role in determining the coverage offered to producers by the Risk Management Agency’s (RMA) Yield Protection, Revenue Protection, and Revenue Protection-Harvest Price Exclusion crop insurance products. The RMA currently uses the simple average of from 4 to 10 years of historical yields to determine the APH yield guarantee. If crop yields are trending upward, use of a simple average of historical yields introduces bias into the insurance offering. Using both county and individual insured unit data, we examine the producer impact of APH yield trends for Texas cotton and Illinois corn. Our findings indicate that biases due to using simple average APH yields when yields are trending upward reduce the...
Tipo: Conference Paper or Presentation Palavras-chave: Actual Production History; Crop Insurance; Yield Trend; Yield Guarantee; Production Economics; Risk and Uncertainty.
Ano: 2011 URL: http://purl.umn.edu/98855
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AN ANALYSIS OF LENDERS' INFLUENCE ON AGRICULTURAL PRODUCERS' RISK MANAGEMENT DECISIONS AgEcon
Knight, Thomas O.; Lovell, Ashley C.; Rister, M. Edward; Coble, Keith H..
Agricultural lenders have a stake in and are in a position to influence their borrowers' management decisions. Risk management practice adoption is an area in which lenders might want to exercise this influence. This study employs logistic statistical models to estimate lenders' influence on crop producers' decisions regarding use of three alternative risk management practices: federal multiple-peril crop insurance, crop hail and fire insurance, and forward contracting. Results suggest lenders can exert significant influence on these decisions but that poor communication between lenders and borrowers likely reduces this influence.
Tipo: Journal Article Palavras-chave: Agricultural Finance; Risk and Uncertainty.
Ano: 1989 URL: http://purl.umn.edu/30092
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Producer Heterogeneity in Crop Insurance Product Decisions within Major Corn Producing States (PowerPoint) AgEcon
Adhikari, Shyam; Belasco, Eric J.; Knight, Thomas O..
PowerPoint presentation
Tipo: Conference Paper or Presentation Palavras-chave: Crop insurance; Risk; Decision-making; Risk and Uncertainty; D81.
Ano: 2009 URL: http://purl.umn.edu/48902
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Hog Producers' Risk Management Attitudes and Desire for Additional Risk Management Education AgEcon
Patrick, George F.; Peiter, Amy J.; Knight, Thomas O.; Coble, Keith H.; Baquet, Alan E..
Hog producers in Indiana and Nebraska were surveyed about sources of risk, effectiveness of risk management strategies, and prior participation in and desire for additional risk management education. Ownership of hogs by the producer, size of the operation, and age did have significant effects on ratings of both sources of risk and effectiveness of risk management strategies. Probit analysis found age, prior attendance, knowledge and prior use of the tool, level of integration, and concern about price and performance risk have significant effects on interest in further education about production contracts, futures and options, packer marketing contracts, and financial management.
Tipo: Journal Article Palavras-chave: Financial management; Futures and options; Packer marketing contracts; Production contracts; Risk attitudes; Risk management; D81; D83; Q12; Q16.
Ano: 2007 URL: http://purl.umn.edu/37110
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Crop Revenue and Yield Insurance Demand: A Subjective Probability Approach AgEcon
Shaik, Saleem; Coble, Keith H.; Knight, Thomas O.; Baquet, Alan E.; Patrick, George F..
A multinomial logit is utilized to model the choice of whether to purchase yield or revenue insurance using subjectively elicited survey data. Our results indicate that the demand for crop insurance is inelastic (-0.40), consistent with most earlier yield elasticity estimates, but the elasticity for choices between yield and revenue insurance is found to be relatively more elastic (-0.88).
Tipo: Journal Article Palavras-chave: Crop insurance; Elasticities; Multinomial logit model; Revenue demand; Subjective elicitation; Survey; Agribusiness; Crop Production/Industries; Demand and Price Analysis; Q18.
Ano: 2008 URL: http://purl.umn.edu/47256
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HOG RISK MANAGEMENT SURVEY: SUMMARY AND PRELIMINARY ANALYSIS AgEcon
Patrick, George F.; Baquet, Alan E.; Coble, Keith H.; Knight, Thomas O..
This paper summarizes the results of a survey of a stratified, random sample of 630 hog operations in Indiana and Nebraska. The survey was conducted in March and April, 2000 with support of a research grant to contribute to the development of a knowledge base to guide the design and implementation of effective risk management programs, policies and tools. This staff paper provides selected summary statistics with limited analysis of size of operation and state effects. Information is presented on sources and responses to risk as well as producers' views on selected agricultural policy, risk management and marketing issues. Use and perceptions of effectiveness of risk-reducing production practices are analyzed. Producers' use of production and marketing...
Tipo: Working or Discussion Paper Palavras-chave: Risk Management; Hogs; Agricultural Policy; Marketing Contracts; Hog Marketing; Livestock Production/Industries; Risk and Uncertainty.
Ano: 2000 URL: http://purl.umn.edu/28638
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YIELD GUARANTEES AND THE PRODUCER WELFARE BENEFITS OF CROP INSURANCE AgEcon
Adhikari, Shyam; Knight, Thomas O.; Belasco, Eric J..
Crop yield and revenue insurance products with coverage based on actual production history (APH) yields dominate the U.S. Federal Crop Insurance Program. The APH yield, which plays a critical role in determining the coverage offered to producers, is based on a small sample of historical yields for the insured unit. The properties of this yield measure are critical in determining the value of the insurance to producers. Sampling error in APH yields has the potential to lead to over-insurance in some years and under-insurance in other years. Premiums, which are in part determined by the ratio of the APH yield to the county reference yield, are also affected by variations in APH yields. Congress has enacted two measures, yield substitution and yield floors,...
Tipo: Conference Paper or Presentation Palavras-chave: Actual Production History; Crop Insurance; Sampling Error; Yield Guarantee; Production Economics; Risk and Uncertainty.
Ano: 2010 URL: http://purl.umn.edu/61476
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The Evolution of Risk Management Education: An Evaluation of Past and Present Demand AgEcon
Garcia, Alexis Arthur B.; Belasco, Eric J.; Knight, Thomas O.; Coble, Keith H.; Mitchell, Paul D.; Rejesus, Roderick M..
Tipo: Conference Paper or Presentation Palavras-chave: Risk Management Education; Multivariate Ordered Probit; Production Economics; Risk and Uncertainty; Teaching/Communication/Extension/Profession.
Ano: 2010 URL: http://purl.umn.edu/61478
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Preference for Risk Management Information Sources: Implications for Extension and Outreach Programming AgEcon
Rejesus, Roderick M.; Knight, Thomas O.; Jaramillo, Mauricio; Coble, Keith H.; Patrick, George F.; Baquet, Alan E..
This article examines farmers’ preferences for various risk management information sources. Our results suggest that information from risk management experts, in-depth materials studied on their own, and popular press outlets tend to be preferred and are ranked highly by producers. Using a regression model to investigate farmer/farm attributes that affect preference for a particular risk management information source, we find that younger farmers with college education, higher leverage, assets greater than $1 million, risk-loving attitudes, and who have used professional services (marketing consultants) tend to prefer information from risk management experts, the Internet, and marketing clubs/other producers. On the other hand, producers who prefer...
Tipo: Journal Article Palavras-chave: Crop insurance; Extension; Information sources; Outreach; Risk management; Risk and Uncertainty.
Ano: 2008 URL: http://purl.umn.edu/44742
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A Real Options Framework for Analyzing Program Participation as Human Capital Investments: The Case of the Average Crop Revenue Election (ACRE) Program AgEcon
Mitchell, Paul D.; Rejesus, Roderick M.; Coble, Keith H.; Knight, Thomas O..
We develop a real options framework to model producer participation in a subsidy program as a human capital investment to learn how the stochastic subsidy affects returns and how to adapt production activities to new program incentives, formally linking the framework to a multinomial logit specification for empirical applications. Analysis of farmer intentions for participation in the ACRE program created by the 2008 Farm Bill finds that reluctance to participate was driven largely by risk aversion and perceptions about income risk from yield and price variability, consistent with the theory that uncertainty creates an option value discouraging human capital investments.
Tipo: Working or Discussion Paper Palavras-chave: Agricultural Policy; Commodity Programs; Farm Bill; Multinomial Logit; Real Options Theory; Subsidy; Agricultural and Food Policy; Q12; Q18.
Ano: 2010 URL: http://purl.umn.edu/92896
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TESTING FOR COOPERATIVE BEHAVIOR: AN EMPIRICAL STUDY OF LAND TENURE CONTRACTS IN TEXAS AgEcon
Dasgupta, Siddhartha; Love, H. Alan; Knight, Thomas O.; Devadoss, Stephen.
Share contracts under information asymmetry often involve input application and risk sharing inefficiency. These difficulties are nullified under full information which can be approximated in repeated contracts. We give evidence of cooperation in repeated contracts, indicating the existence of full information efficiency and efficient resource use, despite underlying information asymmetry.
Tipo: Conference Paper or Presentation Palavras-chave: Institutional and Behavioral Economics; Land Economics/Use.
Ano: 1998 URL: http://purl.umn.edu/20917
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INFORMATION AND HERD HEALTH MANAGEMENT PRACTICES IN TEXAS DAIRIES AgEcon
Howard, Wayne H.; Knight, Thomas O.; Shumway, C. Richard; Blake, Robert W.; Tomaszewski, Michael A..
The dissemination of information by extension agents on dairy management practices used to control mastitis and the reception and use of that information by producers are investigated. Producers are surveyed to determine current practices used. The relationship between milk yield, somatic cell count, management practices, and producer and production characteristics is estimated. Subjective probabilities are elicited from "expert," extension agents, and producers concerning the impact and cost of various management practices. Subjective marginal value products and marginal input costs are computed and compared for the respondent groups. Stochastic dominance is used to rank the relative importance of the practices as perceived by the respondents.
Tipo: Journal Article Palavras-chave: Livestock Production/Industries.
Ano: 1987 URL: http://purl.umn.edu/30216
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