Volatility in farm income represents a major challenge for farm management and for the design of public policies. This paper measures the extent to which risk management tools, especially direct payments and crop insurance, can significantly reduce crop income volatility in France and in Italy....

The changing environment affects agriculture introducing sources of uncertainty. On the other hand, policies to cope with risks may have strong impacts on the environment. We evaluate the effects of public risk management programmes, such as subsidised crop insurance, fertilizer use and land...