The purpose of this paper is to provide a specific test of Boucher, Carter et al.(2008) framework on risk rationing. The data were collected through a survey of 730farm households in Shaanxi province conducted in November 2010. We comparefactor associated with risk rationed, quantity rationed...

The IFAMR is the flagship journal in Agribusiness published quarterly by IFAMA. More information can be found at: www.ifama.org

Agricultural firms that use Value at Risk (VaR) tend to be the large diversified corporations. The benefits of VaR in the agricultural industry are not limited to large conglomerates; however, and this study provides empirical examples of how mid to large sized commodity end-users can use VaR to...

The inaccuracy of the Black-Scholes formula arises from two aspects: the formula is for European options while most real option contracts are American; the formula is based on the assumption that underlying asset prices follow a lognormal distribution while in the real world asset prices cannot...