This paper presents an assessment of the linkages between crop genetic diversity, farm productivity and risk management … increase farm productivity and reduce risk exposure. The empirical results indicate that crop genetic diversity can reduce … variance, but only if pesticide use is low. Furthermore, high diversity levels can reduce downside risk exposure (e.g. the risk …

We address the paradox that financial innovations aimed at risk-sharing appear to have made the world riskier … liquid assets. When risk-sharing is primitive, agents selfhedge and hold more liquid assets; this buffers aggregate risks …, resulting in few correlated failures compared to when there is greater risk sharing. We apply this insight to build a model of a …