Past Progress and Future Opportunities for Agricultural Risk Research

  • Richard E. Just
  • Rulon D. Pope
Chapter
Part of the Natural Resource Management and Policy book series (NRMP, volume 23)

Abstract

The purpose of this book is to provide an assessment of the role of risk in U.S. agriculture and offer a critical evaluation of the current state of agricultural risk research and prospects for further improvements. We commend the contributors for fulfilling that purpose. Collectively, the chapters of this book provide a very useful assessment of the state of empirical research on agricultural risk. Many excellent insights are offered about weaknesses in current research and a number of insightful possibilities are suggested for further research.

Keywords

Risk Aversion Comprehensive Assessment Contingent Valuation Risk Preference Relative Risk Aversion 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. Antle, J.M. 1983. “Testing the Stochastic Structure of Production: A Flexible Moment-Based Approach.” Journal of Business and Economic Statistics 1: 192–201.Google Scholar
  2. Antle, J.M., and S.M. Capalbo. 2001. “Agriculture As a Managed Ecosystem: Implications for Econometric Analysis of Production Risk.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  3. Barry, P.J. 2001. “Finance and Risk Bearing in Agriculture.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  4. Buschena, D.E. 2001. “Non-Expected Utility: What Do the Anomalies Mean for Risk in Agriculture?” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  5. Buschena, D.E., and D. Zilberman. 1995. “Performance of the Similarity Hypothesis Relative to Existing Models of Risky Choice.” Journal of Risk and Uncertainty 11: 233–262. 2000. “Generalized Expected Utility, Heteroscedastic Error, and Path Dependence in Risky Choice.” Journal of Risk and Uncertainty 20: 67–88.CrossRefGoogle Scholar
  6. Chambers, R.G., and J. Quiggin. 2001. “Dual Approaches to State-Contingent Supply Response Systems Under Price and Production Uncertainty.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  7. Chavas, J.-P., and Z. Bouamra-Mechemache. “The Significance of Risk Under Incomplete Markets.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  8. Coble, K.H., and T.O. Knight. 2001. “Crop Insurance As a Tool for Price and Yield Risk Management.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  9. Epstein, L.G., and S.E. Zin. 1989. “Substitution, Risk Aversion, and the Temporal Behavior of Consumption and Asset Returns: A Theoretical Framework.” Econometrica 55: 251276.Google Scholar
  10. Gardner, B.L. 2001. “Risk Created by Policy in Agriculture.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  11. Glauber, J.W., and K.J. Collins. 2001. “Risk Management and the Role of the Federal Government.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  12. Goodwin, B.K., and A.P. Ker. 2001. “Modeling Price and Yield Risk.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  13. Grether, D.M. 1980. “Bayes Rule as a Descriptive Model.” Quarterly Journal of Economics 95: 537–557.Google Scholar
  14. Hallam, J.A. Forthcoming. “Risk Research in Agricultural Economics: From the Agent to the Market.” Agricultural Systems (special issue: “Advances in Risk Impacting Agriculture and the Environment”).Google Scholar
  15. Holt, M.T., and J.-P. Chavas. 2001. “The Econometrics of Risk.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  16. Hueth, B., and D.A. Hennessy. 2001. “Contracts and Risk in Agriculture: Conceptual and Empirical Foundations.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  17. Just, D.R. 2001. “Information, Processing Capacity, and Judgment Bias in Risk Assessment.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  18. Just, D.R. 2001 Forthcoming. “Learning and Information.” Unpublished Ph.D. dissertation, Department of Agricultural and Resource Economics, University of California, Berkeley.Google Scholar
  19. Just, R.E. 2000. “Some Guiding Principles for Empirical Production Economics Research.” Agricultural and Resource Economics Review 29: 138–158.Google Scholar
  20. Just, R.E. 2000. Forthcoming. “Risk Research in Agricultural Economics: Opportunities and Challenges for the Next Twenty-Five Years.” Agricultural Systems (special issue: “Advances in Risk Impacting Agriculture and the Environment”).Google Scholar
  21. Just, R.E., L. Calvin, and J. Quiggin. 1999. “Adverse Selection in Crop Insurance: Actuarial and Asymmetric Information Incentives.” American Journal of Agricultural Economics 81: 834–849.CrossRefGoogle Scholar
  22. Just, R.E., and R.D. Pope. 1978. “Stochastic Specification of Production Functions and Economic Implications.” Journal of Econometrics 7: 67–86.CrossRefGoogle Scholar
  23. Just, R.E., and R.D. Pope. 1999. “Implications of Heterogeneity for Theory and Practice in Production Economics.” American Journal of Agricultural Economics 81: 711–718.CrossRefGoogle Scholar
  24. Just, R.E., and R.D. Pope. 2001. “The Agricultural Producer: Theory and Statistical Measurement.” In B. Gardner and G.C. Rausser, eds., Handbook of Agricultural Economics. Amsterdam: ElsevierNorth-Holland.Google Scholar
  25. Just, R.E., and G.C. Rausser. 2001. “Conceptual Foundations of Expectations and Implications for Estimation of Risk Behavior.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  26. Kahneman, D., and A. Tversky. 1979. “Prospect Theory: An Analysis of Decision under Risk.” Econometrica 47: 263–292.CrossRefGoogle Scholar
  27. Knight, F.H. 1964. Risk, Uncertainty and Profit Silver Lake Publishing Company, New York: Sentry Press. (Originally published in 1921 by the Houghton Mifflin Company, Boston.)Google Scholar
  28. Kreps, D.M., and E.L. Porteus. 1978. “Temporal Resolution of Uncertainty and Dynamic Choice Theory.” Econometrica 46: 185–200.CrossRefGoogle Scholar
  29. Larson, J.A., B.C. English, and R.K. Roberts. 2001. “Precision Farming Technology and Risk Management.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  30. Ligon, E. 2001. “Quality and Grading Risk.” In R.E. Just and R.D. Pope, eds A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers Google Scholar
  31. Machina, Mark J. 1989. “Comparative Statics and Non-Expected Utility Preferences.” Journal of Economic Theory 47: 393–405.CrossRefGoogle Scholar
  32. Marra, M.C., and G.A. Carlson. 2001. “Agricultural Technology and Risk.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  33. Metcalfe, M., D. Sunding, and D. Zilberman. 2001. “Risk Management and the Environment.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  34. Meyer, J. 2001. “Expected Utility as a Paradigm for Decision Making in Agriculture.” In R.E. Just and R.D. Pope, eds A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers Google Scholar
  35. Mundlak, Y. 1996. “Production Function Estimation: Reviving the Primal.” Econometrica 64: 431–438.CrossRefGoogle Scholar
  36. Musser, W.N., and G.F. Patrick. 2001. “How Much Does Risk Really Matter to Farmers?” In R.E. Just and R.D. Pope, eds A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers Google Scholar
  37. Nerlove, M., and D.A. Bessler. 2001. “Expectations, Information and Dynamics.” In B. Gardner and G.C. Rausser, eds., Handbook of Agricultural Economics. Amsterdam: Elsevier-North-Holland.Google Scholar
  38. Pope, R.D., and A. Saha. 2001. “Can Indirect Approaches Represent Risk Behavior Adequately?” In R.E. Just and R.D. Pope, eds A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers Google Scholar
  39. Quiggin, J. 1991. “Comparative Statics for Rank-Dependent Expected Utility Theory.” Journal of Risk and Uncertainty 4: 339–350.CrossRefGoogle Scholar
  40. Roberts, M.J., and N. Key. 2001. “Does Liquidity Matter to Agricultural Production?” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  41. Robison, L.J., and R.J. Myers. 2001. “Ordering Risky Choices.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic Publishers.Google Scholar
  42. Roe, B., and A. Randall. 2001. “Survey and Experimental Techniques As an Approach for Agricultural Risk Analysis.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic PublishersGoogle Scholar
  43. Taylor, C.R., and T.P. Zacharias. “Programming Methods for Risk-Efficient Choice.” In R.E. Just and R.D. Pope, eds., A Comprehensive Assessment of the Role of Risk in U.S. Agriculture. Boston, MA: Kluwer Academic PublishersGoogle Scholar
  44. Weber, C.E. 2000. ‘Rule-of-Thumb’ Consumption, Intertemporal Substitution, and Risk Aversion. Journal of Business and Economic Statistics 18: 497–502.Google Scholar
  45. Weil, P. 1990. “Nonexpected Utility in Macroeconomics.” Quarterly Journal of Economics 105: 29–42.CrossRefGoogle Scholar

Copyright information

© Springer Science+Business Media New York 2002

Authors and Affiliations

  • Richard E. Just
    • 1
    • 2
  • Rulon D. Pope
    • 1
    • 2
  1. 1.University of MarylandUSA
  2. 2.Brigham Young UniversityUSA

Personalised recommendations