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Heterogeneity and Distributional Form of Farm-Level Yields

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Author Info

  • Roger Claassen
  • Richard E. Just

Abstract

Representing farm-level crop yield heterogeneity and distributional form is critical for risk and crop insurance research. Most studies have used county data, understating both systematic and random variation. Comparison of systematic versus random intra-county variation is lacking. Few studies compare the various distributional forms that have been proposed. This study utilizes the extensive potential of government farm-level crop insurance data. Results show that systematic intra-county variation is surprisingly strong. A newly applied reverse lognormal distribution is preferred when county-wide variation is removed, but the normal distribution fits surprisingly well in the crop insurance relevant percentiles when county-wide variation is not removed. Copyright 2010, Oxford University Press.

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File URL: http://hdl.handle.net/10.1093/ajae/aaq111
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Bibliographic Info

Article provided by Agricultural and Applied Economics Association in its journal American Journal of Agricultural Economics.

Volume (Year): 93 (2010)
Issue (Month): 1 ()
Pages: 144-160

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Handle: RePEc:oup:ajagec:v:93:y:2010:i:1:p:144-160

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Cited by:
  1. repec:hal:wpaper:hal-00796528 is not listed on IDEAS
  2. Gerlt, Scott & Westhoff, Patrick, 2013. "Analysis of the Supplemental Coverage Option," 2013 AAEA: Crop Insurance and the Farm Bill Symposium, October 8-9, Louisville, KY 156704, Agricultural and Applied Economics Association.
  3. Tack, Jesse, 2013. "A Nested Test for Common Yield Distributions with Applications to U.S. Corn," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 38(1), April.
  4. Hennessy, David A., 2011. "Modeling Stochastic Crop Yield Expectations with a Limiting Beta Distribution," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 36(1), April.
  5. Conradt, Sarah & Bokusheva, Raushan & Finger, Robert & Kussaiynov, Talgat, 2012. "Yield trend estimation in the presence of non-constant technological change and weather effects," 123rd Seminar, February 23-24, 2012, Dublin, Ireland 122541, European Association of Agricultural Economists.
  6. Tolhurst, Tor & Ker, Alan P., 2013. "On Technological Change in Crop Yields," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 151269, Agricultural and Applied Economics Association.
  7. repec:hal:ciredw:hal-00796528 is not listed on IDEAS
  8. Awondo, Sebastain N. & Datta, Gauri S. & Ramirez, Octavio A. & Fonsah, Esendugue Greg, 2012. "Estimation of crop yield distribution and Insurance Premium using Shrinkage Estimator: A Hierarchical Bayes and Small Area Estimation Approach," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 126778, Agricultural and Applied Economics Association.
  9. Zulauf, Carl R. & Demircan, Vecdi & Scnhitkey, Gary & Barnaby, Art & Ibendahl, Gregg & Herbel, Kevin, 2013. "Examining Contemporaneous Farm and County Losses Using Farm Level Data," 2013 AAEA: Crop Insurance and the Farm Bill Symposium, October 8-9, Louisville, KY 157812, Agricultural and Applied Economics Association.
  10. Wade, Tara & Kurkalova, Lyubov A. & Secchi, Silvia, 2012. "Using the logit model with aggregated choice data in estimation of Iowa corn farmers’ conservation tillage subsidies," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124974, Agricultural and Applied Economics Association.

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