EconPapers    
Economics at your fingertips  
 

THE EFFECTS OF FIRM SIZE AND PRODUCTION COST LEVELS ON DYNAMICALLY OPTIMAL AFTER-TAX COTTON STORAGE AND HEDGING DECISIONS

Russell Tronstad

Southern Journal of Agricultural Economics, 1991, vol. 23, issue 1, 15

Abstract: Farm size and production costs are varied in a six state variable stochastic dynamic programming model that quantifies monthly hedging, storage, and cash cotton sale decisions for an Alabama cotton producer. State variables considered are: (1) cash cotton price; (2) basis level; (3) before-tax income level; (4) cotton holdings; (5) futures position; and (6) value of futures position. Results indicate that when farm size and production cost level differ, marketing decisions diverge the most for cash cotton sales at the end of the tax year and lower range of cash price (less than $.65/lb.), basis (less than- $.05/lb.), and before-tax income (less than $0.00) states.

Keywords: Demand; and; Price; Analysis (search for similar items in EconPapers)
Date: 1991
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link)
https://ageconsearch.umn.edu/record/30287/files/23010165.pdf (application/pdf)

Related works:
Journal Article: The Effects of Firm Size and Production Cost Levels on Dynamically Optimal After-Tax Cotton Storage and Hedging Decisions (1991) Downloads
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:sojoae:30287

DOI: 10.22004/ag.econ.30287

Access Statistics for this article

More articles in Southern Journal of Agricultural Economics from Southern Agricultural Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().

 
Page updated 2022-01-25
Handle: RePEc:ags:sojoae:30287