Is There a Viable Market for AreaBased Crop Insurance? Academic Article uri icon

abstract

  • The performance of area yield insurance and farm-level multiple peril crop insurance is analyzed for cotton and soybean production in Georgia and South Carolina. The analysis improves on many previous studies by utilizing actual farm-level yield data and by comparing the two types of insurance products not only for actuarially fair premium rates but also for actual unsubsidized and subsidized premium rates. Results suggest that, even in heterogeneous production regions, area yield insurance may be a viable alternative to farm-level insurance when premium rates for farm-level insurance contain large positive wedges. 2007 American Agricultural Economics Association.

published proceedings

  • American Journal of Agricultural Economics

author list (cited authors)

  • Deng, X., Barnett, B. J., & Vedenov, D. V.

citation count

  • 45

complete list of authors

  • Deng, Xiaohui||Barnett, Barry J||Vedenov, Dmitry V

publication date

  • May 2007

publisher