RISK SHARING IN POULTRY CONTRACTS

S. Aaron Hegde

No 20486, 2001 Annual meeting, August 5-8, Chicago, IL from American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association)

Abstract: Previous literature has found that 84% of risk in poultry grow-out farms is transferred to the integrator. One of the main reasons behind this is the absence of a market price variable in determining compensation. We do not find this to be the case with more recent contracts, which include a market price clause. We also use VaR methodology to look at the risk inherent in the new contracts.

Keywords: Livestock; Production/Industries (search for similar items in EconPapers)
Pages: 10
Date: 2001
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Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea01:20486

DOI: 10.22004/ag.econ.20486

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