Farm Level Risk Analysis for Kansas Farmers
Опубликовано на портале: 05-02-20042002
Department of Agricultural Economics
|Тематические разделы:||Экономика, Экономика отраслевых рынков, Экономика отраслевых рынков: Аграрная экономика|
Price variability for commodities, mounting machinery and input costs, shifting farm policy environment, and changes in the risk environment facing producers have all contributed to the need for improved understanding of risk management at the farm level. The objective of the current study is to use farm-level, cross-section data from the Kansas Farm Management Association record keeping system, to determine whether the variability of net farm income (NFI) and rate of return on equity (ROE) are significantly influenced by farm size, diversification, cost efficiency, debt management, and other farm characteristics. In general, the current study proves the robustness of the prior literature, and exposes the difficulty that arises when trying to rationalize farm performance. The conclusions of the current study is that the effects of most factors are difficult to determine and establishing generalizable risk management strategies are problematic.