The study of natural catastrophe models plays an important role inthe prevention and mitigation of disasters. After the occurrence of a naturaldisaster, the reconstruction can be financed with catastrophe bonds(CAT bonds) or reinsurance. This paper examines the calibration of a realparametric...

A theoretical optimal hedging model is developed to determine potential demand from Australianfarmers for a hedging tool to remove the economic consequences of climate related variability inwheat yield. In the past, financial instruments have been developed to hedge price risk on capitalmarkets;...

Climate science has made enormous progress over the last two decades in understanding the nature of earth's climate and the changes that are taking place. Under climate change projections, we can say with some confidence that the Australian climate will continue to become hotter, and...

Basis risk has been cited as a primary concern for implementing weather hedges. This studyinvestigates several dimensions of weather basis risk for the U.S. corn market at variouslevels of aggregation. The results suggest that while the degree of geographic basis risk maybe significant in some...

The study introduces an ex-ante evaluation concept into the analysis of weather-based index insurance effectiveness. We conduct our ex ante analysis by distinguishing between two consecutive periods: the first period is used for determining insurance parameters and optimal number of insurance...

Agricultural insurance in Ukraine is mostly offered on the basis of traditional products includingPMCI, named perils and single peril coverage. The index concept was introduced in 2001 thoughuntil 2005 the insurance companies provided index crop insurance through area-based yield indexprogram....

The relevance of bargaining to everyday life can easily be ascertained, yet the study of any bargaining process is extremely hard, involving a multiplicity of questions and complex issues. The objective of this paper is to provide new insights on some dimensions of the bargaining process –...

Veggies 4U is a young and dynamic family-run greenhouse: Lucy and her husband run the business with the help of a small group of friends and colleagues who serve on the company’s Board of Directors. Lucy is preparing a report to the Board to recommend a natural gas supply contract for the next...

Australian wool producers have been slow to adopt price risk management strategies to stabilise the income from their wool sales. The highly volatile auction system accounts for 85% of raw wool sales while the remainder is sold by forward contract, futures and other hedging methods. Qualitative...

Except for few studies, not many have analyzed the significance of embeddedness and networks for consumers coping with uncertainty. In our explorative study based on focus groups in Norway and Germany, consumers’ attitudes to purchasing of seafood are further explored. We find that fish in...