Online citations, reference lists, and bibliographies.
← Back to Search

Revisiting The Demand Of Agricultural Insurance: The Case Of Spain

A. Garrido, D. Zilberman
Published 2007 · Economics

Save to my Library
Download PDF
Analyze on Scholarcy Visualize in Litmaps
Share
Reduce the time it takes to create your bibliography by a factor of 10 by using the world’s favourite reference manager
Time to take this seriously.
Get Citationsy
We use the actual insurance records of 52,300 farmers and 11 years to estimate two sets of insurance demands. We define measures of insurance's expected returns, variance and third moment, based on observed insurance data, and infer the expected returns for those farmers that have never had an indemnity. We estimate several probit models and count models for the insuring vs non-insuring strategies, in which the economic returns of insurance and its two measures of dispersion enter as explanatory variables. Results show that farmers' insurance strategies are largely explained by their actual insurance experience as captured by these three variables. Individuals with loss rations greater than 1 do not show more responsiveness that those facing more balanced premium charges. Results show that adverse selection may not be a major source of inefficiency in the Spanish insurance system.
This paper references
10.2307/1241817
Land Allocation under Uncertainty for Alternative Specifications of Return Distributions
Robert N. Collender (1985)
10.2307/1241549
Rate Making for Farm-Level Crop Insurance: Implications for Adverse Selection
J. Skees (1986)
10.2307/253132
Crop Insurance for Agricultural Development: Issues and Experience
J. Outreville (1987)
10.2307/1912557
Likelihood Ratio Tests for Model Selection and Non-Nested Hypotheses
Q. Vuong (1989)
10.2307/1242016
Insurability and Moral Hazard in Agricultural Insurance Markets
R. Chambers (1989)
10.2307/1243021
Acreage Decisions Under Risk: The Case of Corn and Soybeans
Jean-Paul Chavas (1990)
Featherstone, 2003."Modeling Changes in the U.S. Demand for Crop Insurance During the 1990s" Agricultural Finance Review 63(2)
T. Serra (1990)
10.2307/1243980
Insurance, Moral Hazard, and Chemical Use in Agriculture
J. Horowitz (1993)
10.1111/J.1467-8489.1993.TB00531.X
Crop Insurance And Crop Production: An Empirical Study Of Moral Hazard And Adverse Selection
J. Quiggin (1993)
10.2307/1243979
Supply Response to Agricultural Insurance: Risk Reduction and Moral Hazard Effects
B. Ramaswami (1993)
Adverse selection in US crop insurance: The relationship of farm characteristics to premiums
R. E. Just (1993)
10.1007/978-94-011-1386-1
Economics of agricultural crop insurance: theory and evidence.
D. Hueth (1994)
Premium Rate Determination in the Federal Crop Insurance Program: What Do Averages Have to Say About Risk?
B. Goodwin (1994)
Agricultural risk, insurance and income: a study of the impact and design of India's comprehensive crop insurance scheme
P. Mishra (1996)
10.2307/1243714
Crop Insurance, Moral Hazard, and Agricultural Chemical Use
V. Smith (1996)
10.2307/1243713
Input Demand Under Yield and Revenue Insurance
B. Babcock (1996)
1902-1992: 90 años de seguros agrarios en España
F. B. Moreno (1996)
10.2307/1243715
Modeling Farm‐Level Crop Insurance Demand with Panel Data
Keith H. Coble (1996)
10.2307/3180267
The Production Effects of Agricultural Income Support Policies Under Uncertainty
D. Hennessy (1998)
10.2307/1244583
Crop Insurance, Acreage Decisions, and Nonpoint‐Source Pollution
J. Wu (1999)
10.2307/1244328
Adverse Selection in Crop Insurance: Actuarial and Asymmetric Information Incentives
R. Just (1999)
WEATHER-BASED ADVERSE SELECTION AND THE U.S. CROP INSURANCE PROGRAM: THE PRIVATE INSURANCE COMPANY PERSPECTIVE
A. Ker (2000)
10.1016/S1574-0072(01)10005-8
Chapter 2 Uncertainty, risk aversion, and risk management for agricultural producers
G. Moschini (2001)
10.2307/2691544
EVIDENCE OF ADVERSE SELECTION IN CROP INSURANCE MARKETS
S. Makki (2001)
Revenue Insurance and Chemical Input Use Rates
R. W. Nimon (2001)
10.22004/AG.ECON.20579
THE FEDERAL CROP INSURANCE PROGRAM - AN EMPIRICAL ANALYSIS OF REGIONAL DIFFERENCES IN ACREAGE RESPONSE AND PARTICIPATION
B. Goodwin (2001)
10.1787/oecd_papers-v5-art43-en
THE IMPACT OF CROP INSURANCE SUBSIDIES ON LAND ALLOCATION AND PRODUCTION IN SPAIN JT00156111
A. Garrido (2003)
10.1108/00215030380001144
Modeling changes in the U.S. demand for crop insurance during the 1990s
T. Serra (2003)
10.1111/1467-8276.00122
Crop Insurance in a Political Economy: An Alternative Perspective on Agricultural Policy
R. Innes (2003)
AGRICULTURAL INDEX INSURANCE PRODUCTS: STRENGTHS AND LIMITATIONS
B. Barnett (2004)
10.1016/S0167-9473(02)00234-7
Computing the distribution of the product of two continuous random variables
A. Glen (2004)
Effects of Government Payments on Land Rents, Distribution of Payment Benefits, and Production.
Roberts (2004)
10.1016/J.JENVMAN.2004.08.003
Is moral hazard good for the environment? Revenue insurance and chemical input use.
A. K. Mishra (2005)
10.4135/9781848608054.N19
Agriculture and Food
Wyn Grant (2006)
10.1111/J.1574-0862.2007.00177.X
Finding optimal price risk management instruments: the case of the Spanish potato sector
M. Bielza (2007)
Agricultural Insurance Schemes II
Bielza Diaz-Caneja Maria (2008)
Evaluating EU Risk Management Instruments: Policy Lessons and Prospects for the Future
G. Alberto (2008)
10.4337/9781781000915.00021
计量经济分析 = Econometric analysis
W. Greene (2009)



This paper is referenced by
10.1016/B978-0-12-822373-4.00021-5
Emerging typology and framing of climate-resilient agriculture in South Asia
Rajesh S. Kumar (2021)
10.5337/2021.213
Scaling up Index-based Flood Insurance (IBFI) for agricultural resilience and flood-proofing livelihoods in developing countries
G. Amarnath (2021)
10.3390/SU13041741
Economic Sustainability and Multiple Risk Management Strategies: Examining Interlinked Decisions of Small American Farms
S. Adhikari (2021)
Effective factors on the demand of insurance of agricultural crops in Sistan area, Iran
Kamran B. Khomeini (2020)
10.1017/age.2019.15
A Risk Management Tool or an Investment Strategy? Understanding the Unstable Farm Insurance Demand via a Gain-Loss Framework
Y. Cao (2020)
10.5194/NHESS-20-345-2020
Remote sensing in an index-based insurance design for hedging economic impacts on rice cultivation
Omar Valverde-Arias (2020)
10.1080/09571264.2020.1723071
Business choices, risk management and distortions in the wine market in the European Union
F. Sgroi (2020)
10.1007/s10584-019-02601-8
Modelling the climate, water and socio-economic drivers of farmer exit in the Murray-Darling Basin
S. Wheeler (2019)
10.17513/vaael.800
THE INSURANCE OF PRODUCTION RISKS OF ECONOMIC ENTITIES AS A FACTOR OF RURAL DEVELOPMENT
Y. I. Novikov (2019)
10.1108/afr-10-2018-0082
Premium subsidies and crop insurance demand in Brazil
M. Lavorato (2019)
10.2139/ssrn.3424071
Modeling the Switch from Hail Insurance to Anti-Hail Nets
Marco Rogna (2019)
10.30858/ZER/103596
What Characterizes Farmers Who Purchase Crop Insurance in Poland?
G. Strupczewski (2019)
10.1108/AFR-09-2018-0071
German farmers’ acceptance of subsidized insurance associated with reduced direct payments
Johannes Möllmann (2019)
10.1111/1467-8489.12307
Interaction between Crop Insurance and Technology Adoption Decisions: The Case of Wheat Farmers in Chile
C. Salazar (2019)
10.1111/1467-8489.12290
Moral hazard and adverse selection effects of cost‐of‐production crop insurance: evidence from the Philippines
Juan He (2019)
10.3390/RISKS6040126
Measures of Efficiency of Agricultural Insurance in Italy, Economic Evaluations
F. Capitanio (2018)
10.17358/JMA.15.2.143
Factors Affecting Agricultural Insurance Acceptability of Paddy Farmers in East Java, Indonesia
S. Sujarwo (2018)
Liquidity constraints, risk preferences and farmers’ willingness to participate in crop insurance programs in Ghana
A. Abdulai (2018)
10.5424/SJAR/2017154-10716
Crop insurance demand in wheat production: focusing on yield gaps and asymmetric information
A. Castañeda-Vera (2018)
10.1111/1477-9552.12267
Advantageous Selection in Crop Insurance: Theory and Evidence
J. He (2018)
An analysis of farmers’ preferences for crop insurance: a case of maize farmers in Swaziland
Nobuhle Duduzile Mbonane (2018)
10.1146/ANNUREV-ECONOMICS-080315-015225
Agricultural Insurance and Economic Development
S. Cole (2017)
10.1016/J.JPOLMOD.2016.12.001
The demand for public–private crop insurance and government disaster relief
Petri Liesivaara (2017)
10.1016/J.LANDUSEPOL.2017.02.018
Crop insurance as a risk management tool in agriculture: The case of silk farmers in northern Iran
M. Farzaneh (2017)
Evaluation of risk management tools for stabilising farm income under CAP 2014-2020
A. C. Vera (2017)
10.1111/1467-8489.12199
Incorporating risk in a positive mathematical programming framework: a dual approach
L. Arata (2017)
Crop Insurance in the European Union: Lessons and Caution from the United States
A. Ramsey (2017)
10.1111/1746-692X.12154
Crop Insurance in the EU: Lessons and Caution from the US
F. Santeramo (2017)
10.1016/J.JSSAS.2017.04.004
Economic and socio-cultural determinants of agricultural insurance demand across countries
Ezdini Sihem (2017)
10.21776/UB.AGRISE.2017.017.3.1
FACTORS AFFECTING FARMERS’ ACCEPTABILITY TOWARD AGRICULTURAL INSURANCE PROGRAM IN MALANG, EAST JAVA, INDONESIA
Sujarwo Sujarwo (2017)
Modeling Withdrawal from AgriStability by Ontario Beef Farmers: An Application of Prospect Theory
Emma Ferner (2016)
10.1111/1477-9552.12155
Farmer Participation, Entry and Exit Decisions in the Italian Crop Insurance Program
F. Santeramo (2016)
See more
Semantic Scholar Logo Some data provided by SemanticScholar