PACIFIC NORTHWEST GRAIN GROWNERS' INCOME RISK MANAGEMENT

In this paper, we identified the most desirable farm income risk management strategies for two rotation systems in the Pacific Nowthwest(PNW)area under a framework of expected utility maximization. Insurance programs available to PNW farmers and wheat futures market instruments are included in this study. The risk management effectiveness of each instrument and the substitute effect of revenue insurance programs on the combination of yield insurance and futures market are also evaluated.