Weather is a key source of income risk, particularly in emerging market economies. This paper uses a randomized …-return but higher-risk cash crops. Our results support the view that financial innovation can mitigate the real effects of … uninsured production risk. Addressing the puzzle of low adoption, we show that payouts improve trust in the product and that …

The goal of integrated risk management in a financial institution is to measure and manage risk and capital across a … range of diverse business activities. This requires an approach for aggregating risk types (market, credit, and operational …) whose distributional shapes vary considerably. In this paper, we use the method of copulas to construct the joint risk …