The main objective of this paper is to model the losses caused by frost events and use it to price frost insurances. Since the data on frost events are either unavailable or rarely available, we have chosen to obtain a model for frost losses based on temperature by using some fundamental...

This article constructs triple-difference tests around shifts in the supply of risk management instruments available to agricultural producers to reveal a positive relation between risk management and productivity. This relation is more robust when producers adopt instruments with payoffs linked...

The agricultural yield is affected by several risks, main of them are not controllable by humans. For this reason, the CAP has established several interventions to help guaranteeing a stable and appropriate income to farmers. One of the main policy interventions established in the current CAP...

This paper evaluates the impact of the introduction of savings groups on poverty, vulnerability, and financial inclusion outcomes in rural Peru. Using a cluster randomized control trial and relying on both survey and administrative records, we investigate the impact of savings groups after more...

This paper examines different types of agricultural insurance to find the best product to increase the yield of farmers in Aruppukottai, a small village in Tamil Nadu, India. The paper explores the best way to maximize the resources of​ my ​NGO, Khasanam, so as to have maximum impact in...

I develop and estimate a dynamic stochastic optimization model to assess the impact of weather insurance on the consumption, investment, and welfare of farmers in developing countries. Weather insurance has the potential to provide large welfare gains, equivalent to a permanent increase in...

Multiple peril insurance schemes (e.g., revenue and earnings insurance) provide protection against adverse movements in several named risks. Their indemnity payoff function resembles that of exotic options with complex contingencies. In this paper we show how the option-based pricing techniques...

Smallholder farmers are increasingly exposed to weather extremes but lack access to affordable insurance products for catastrophic crop damage. This paper analyzes the feasibility of Picture-Based Insurance (PBI) as a low-cost tool to improve coverage. PBI verifies insurance claims using...

I develop and estimate a dynamic stochastic optimization model to assess the impact of weather insurance on the consumption, investment, and welfare of farmers in developing countries. Weather insurance has the potential to provide large welfare gains, equivalent to a permanent increase in...

Farmers may use financial market instruments to hedge price risks. Moreover, various types of insurance products are on the market to protect against production losses. An insurance that covers losses of both input and output prices was recently introduced in the USA. We develop this concept...