Whole-farm risk management in arable farming: portfolio methods for farm-specific business analysis and planning

Keywords:Economics, panel data, arable farming, revenue variability, farm business and financial characteristics, portfolio analysis, quadratic risk programming, utility-efficient programming, crop insuranceThe problem of farm income instability remains an important problem for agricultural decision-makers. Due to the difficulties in making an accurate prediction of the future, agricultural business is a risky business with unstable incomes. However, farmers have a number of tools to manage such risky situations (for instance, they use diversification possibilities on farm or price contracts).... Mehr ...