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The purpose of this paper is to examine weather risk management by application of weather derivatives in agriculture … volatility in agriculture. … and evaluate the hedging efficiency. Agriculture is a sector highly sensitive to meteorological elements that affect the …
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In this paper, a new form of weather derivative contract, namely the climatic zone-based growth degree-day (GDD …) contract, is introduced. The objective is to increase the risk management efficiency in the agricultural sector of China and to … serves as a risk management tool for all of the cities in the same climatic zone, we compare the risk hedging power between …
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This note studies the risk-management decisions of a risk-averse farmer. The farmer faces multiple sources of price uncertainty. He sells commodities to two markets at two prices, but only one of these markets has a futures market. We show that the farmer’s optimal commodity futures market...
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-priority uses such as agriculture. These plans have recently become widespread across EU southern basins. Shockingly, in some of … availability in agriculture that results from the decision rules of the recently approved DMPs. The methodology is applied to the … particular case of the Guadalquivir River Basin in southern Spain. Results show that if the DMPs are successfully enforced …
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