Designing Rainfall Insurance Contracts for Pasture, Rangeland, and Forage

Denis A. Nadolnyak and Dmitry Vedenov

No 56511, 2010 Annual Meeting, February 6-9, 2010, Orlando, Florida from Southern Agricultural Economics Association

Abstract: In the paper, preliminary results of the analysis of potential use of climate forecast information in designing rainfall index insurance in the southeastern region of the U.S. are reported. Joint distributions of bi-monthly rainfall and El Nino Southern Oscillation (ENSO) indexes are estimated using copula analysis of historical data. The risk reducing effectiveness of introducing premiums conditional on ENSO forecast is evaluated. The results indicate some dependence of the downward volatility of rainfall on the lagged ENSO (forecast) index, particularly in the coastal areas and in the late winter and spring.

Keywords: Agricultural Finance; Research Methods/Statistical Methods; Risk and Uncertainty (search for similar items in EconPapers)
Pages: 15
Date: 2010-01-15
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://ageconsearch.umn.edu/record/56511/files/SAEA%20RI%20paper%202010c.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:saea10:56511

DOI: 10.22004/ag.econ.56511

Access Statistics for this paper

More papers in 2010 Annual Meeting, February 6-9, 2010, Orlando, Florida from Southern Agricultural Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().