Hostname: page-component-78c5997874-t5tsf Total loading time: 0 Render date: 2024-11-10T19:31:32.726Z Has data issue: false hasContentIssue false
  • English
  • Français

Risk Perceptions and Management Responses: Producer-Generated Hypotheses For Risk Modeling

Published online by Cambridge University Press:  28 April 2015

George R. Patrick ,
Paul N. Wilson ,
Peter J. Barry ,
William G. Boggess  and
Douglas L. Young
George R. Patrick
Affiliation:
Department of Agricultural Economics, Purdue University
Paul N. Wilson
Affiliation:
Department of Agricultural Economics, University of Arizona
Peter J. Barry
Affiliation:
Department of Agricultural Economics, University of Illinois
William G. Boggess
Affiliation:
Department of Food and Resource Economics, University of Florida
Douglas L. Young
Affiliation:
Department for Agricultural Economics, Washington State University
Get access Rights & Permissions [Opens in a new window]

Abstract

Farm level risk analyses have used price and yield variability almost exclusively to represent risk. Results from a survey of 149 agricultural producers in 12 states indicate that producers consider a broader range of sources of variability in their operations. Significant differences exist among categories with respect to the importance of the sources of variability in crop and livestock production. Producers also used a variety of management responses to variability. There were significant difference among categories in the importance given to particular responses and their use of them. These results have implications for research, extension, and policy programs.

Keywords

riskvariabilityperceptionsrisk responses
Type
Notes
Information
Journal of Agricultural and Applied Economics , Volume 17 , Issue 2 , December 1985 , pp. 231 - 238
Copyright
Copyright © Southern Agricultural Economics Association 1985

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Arrow, K. J. “Risk Perception in Psychology and Economics,” Econ. Inquiry, 20(1982):1–9.CrossRefGoogle Scholar
Dillman, D. A.. Mail and Telephone Surveys: The Total Design Method, John Wiley and Sons, New York, 1978.Google Scholar
Hatch, Thomas C, Gustafson, Cole, Baum, Kenneth, and Harrington, David. “A Typical Farm Series: Development and Application to a Mississippi Delta Farm,” So. J. Agr. Economics, 14,2(1982):31–36.Google Scholar
Kahneman, D. and Tversky, A.. “Prospect Theory: An Analysis of Decision Under Risk,” Econometrica, 47(1979):263–291.CrossRefGoogle Scholar
Knez, P., Smith, V. L., and Williams, A. W.. “Individual Rationality, Market Rationality and Value Estimation,” Amer. Econ. Rev., 75(1985):397–402.Google Scholar
Lin, W., Dean, G., and Moore, C.. “An Empirical Test of Utility Versus Profit Maximization in Agricultural Production,” Amer. J. Agr. Econ., 56(1974):497–508.CrossRefGoogle Scholar
Mapp, Harry P. and Helmers, Glenn A.. “Methods of Risk Analysis for Farm Firms.” In Risk Management in Agriculture, ed. Barry, Peter J., Ames, Iowa; Iowa State University Press, 1984, pp. 116–128.Google Scholar
Patrick, George F. “Producers' Attitudes, Perceptions and Management Responses to Variability,” Risk Analysis for Agricultural Products Firms: Concepts, Information Requirements and Policy Issues, Department of Agricultural Economics, University of Illinois, AE-4574; July, 1984; pp. 197–236.Google Scholar
Sanint, L. R. and Barry, P. J.. “A Programming Analysis of Farmers' Credit Risks,” Amer. J. Agr. Econ., 65(1983):321–325.CrossRefGoogle Scholar
Simon, H. A.. Reason in Human Affairs, Stanford University Press, Stanford, California, 1983.Google Scholar
Sonka, S. T. and Patrick, G. F.. “Risk Management and Decision Making in Agricultural Firms.” In Risk Management in Agriculture, ed. Barry, Peter J., Ames, Iowa; Iowa State University Press, 1984, pp. 95–115.Google Scholar
Tversky, A. and Kahneman, D.. “The Framing of Decisions and the Psychology of Choice,” Science, 211(1981):453–458.CrossRefGoogle ScholarPubMed
Wilde, K. D., LeBaron, A. D., and Israelsen, L. D.. “Knowledge, Uncertainty, and Behavior,” Amer. Econ. Rev., 75(1985):403–408.Google Scholar