Crop Insurance Valuation under Alternative Yield Distributions

Bruce Sherrick, Fabio C. Zanini, Gary Schnitkey () and Scott Irwin

American Journal of Agricultural Economics, 2004, vol. 86, issue 2, 406-419

Abstract: Considerable disagreement exists about the most appropriate characterization of farm-level yield distributions. Yet, the economic importance of alternative yield distribution specifications on crop insurance valuation has not been well documented. The results of this study demonstrate that large differences in expected payouts from popular crop insurance products can arise solely from the parameterization chosen to represent yield distributions. The results suggest that the frequently unexamined yield distribution specification may lead to economically significant errors in crop insurance policy rating and assessment of expected payouts from policies. Copyright 2004, Oxford University Press.

Date: 2004
References: Add references at CitEc
Citations: View citations in EconPapers (68)

Downloads: (external link)
http://hdl.handle.net/10.1111/j.0092-5853.2004.00587.x (application/pdf)
Access to full text is restricted to subscribers.

Related works:
Working Paper: CROP INSURANCE VALUATION UNDER ALTERNATIVE YIELD DISTRIBUTIONS (2001)
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:oup:ajagec:v:86:y:2004:i:2:p:406-419

Access Statistics for this article

American Journal of Agricultural Economics is currently edited by Madhu Khanna, Brian E. Roe, James Vercammen and JunJie Wu

More articles in American Journal of Agricultural Economics from Agricultural and Applied Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by Oxford University Press ().