Table 5. Impacts of Market Institutions and Government Policies on
Farmers’ Optimal Risk Management Portfolio
|
Alternative Portfolios |
Hedge Ratio |
Crop Ins. |
0% Premium Loading |
30% Premium Loading | ||||
|
Year1 |
Year2 |
Year3 |
Year4 |
Year5 |
Year1-5 |
CE($) |
CE($) | |
|
With Transaction Cost ($0.017/Bushel) | ||||||||
|
H & CI & G(DP, LDP, CCP) |
0.25 |
0.31 |
0.32 |
0.32 |
0.26 |
0.85 |
62.28 |
62.15 |
|
H & CI & G(DP, LDP) |
0.39 |
0.44 |
0.44 |
0.44 |
0.38 |
0.85 |
48.82 |
48.69 |
|
H & CI & G(DP) |
0.28 |
0.57 |
0.65 |
0.72 |
0.74 |
0.85 |
34.58 |
34.45 |
|
H & CI |
0.32 |
0.59 |
0.66 |
0.72 |
0.74 |
0.85 |
4.81 |
4.68 |
|
CI & G(DP, LDP, CCP) |
-- |
-- |
-- |
-- |
-- |
0.85 |
62.20 |
62.07 |
|
Without Transaction Cost ($0/bushel) | ||||||||
|
H & CI & G(DP, LDP, CCP) |
0.42 |
0.39 |
0.37 |
0.35 |
0.27 |
0.85 |
62.68 |
62.54 |
|
H & CI & G(DP, LDP) |
0.61 |
0.54 |
0.50 |
0.48 |
0.39 |
0.85 |
49.39 |
49.26 |
|
H & CI & G(DP) |
0.78 |
0.79 |
0.77 |
0.79 |
0.77 |
0.85 |
35.44 |
35.31 |
|
H & CI |
0.78 |
0.79 |
0.77 |
0.79 |
0.77 |
0.85 |
5.67 |
5.54 |
|
CI & G(DP, LDP, CCP) |
^B ^B |
^B ^B |
^B ^B |
^B ^B |
^B ^B |
0.85 |
62.20 |
62.07 |
Note: The base portfolio is the portfolio that includes all risk management tools, i.e. H & CI & G(DP, LDP, CCP).
49
More intriguing information
1. Analyzing the Agricultural Trade Impacts of the Canada-Chile Free Trade Agreement2. Target Acquisition in Multiscale Electronic Worlds
3. The name is absent
4. AN EXPLORATION OF THE NEED FOR AND COST OF SELECTED TRADE FACILITATION MEASURES IN ASIA AND THE PACIFIC IN THE CONTEXT OF THE WTO NEGOTIATIONS
5. Psychological Aspects of Market Crashes
6. DETERMINANTS OF FOOD AWAY FROM HOME AMONG AFRICAN-AMERICANS
7. The name is absent
8. Transport system as an element of sustainable economic growth in the tourist region
9. The name is absent
10. GOVERNANÇA E MECANISMOS DE CONTROLE SOCIAL EM REDES ORGANIZACIONAIS