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Risk and economic sustainability of crop farming systems

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  • Lien, Gudbrand D.
  • Hardaker, J. Brian
  • Flaten, Ola
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    Abstract

    Environmental, social, and economic attributes are important for the sustainability of a farming system. Resilience is also important, yet has seldom been directly considered in evaluations of economic sustainability. In economic terms, resilience has to do with the capacity of the farm business to survive in various risks and other shocks. A whole-farm stochastic simulation model over a six-year planning horizon was used to analyse organic and conventional cropping systems using a model of a representative farm in Eastern Norway. The relative sustainability of the systems was examined in terms of terminal financial position.

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    File URL: http://purl.umn.edu/139879
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    Bibliographic Info

    Paper provided by Australian Agricultural and Resource Economics Society in its series 2006 Conference (50th), February 8-10, 2006, Sydney, Australia with number 139879.

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    Date of creation: 2006
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    Handle: RePEc:ags:aare06:139879

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    Related research

    Keywords: sustainability; resilience; risk assessment; whole-farm stochastic simulation; stochastic efficiency; Crop Production/Industries; Environmental Economics and Policy; Risk and Uncertainty;

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    Cited by:
    1. Medina, Felipe & Iglesias, Ana, 2008. "Economic Feasibility of Organic Farms and Risk Management Strategies," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44065, European Association of Agricultural Economists.
    2. Medina, Felipe & Iglesias, Ana & Mateos, Carlos, 2007. "Risk management, vulnerability, and risk perception of organic farmers in Spain," 101st Seminar, July 5-6, 2007, Berlin Germany 9274, European Association of Agricultural Economists.

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