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A Credit Migration Analysis of the Financial Vitality of Female and Racial Minority Borrowers of the Farm Service Agency under Recessionary Conditions

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Listed:
  • Li, Xiaofei
  • Escalante, Cesar L.
  • Dodson, Charles B.

Abstract

This paper compares the credit migration transition of female and racial minority farmers of the Farm Service Agency’s lending program using both time-discrete method and time-homogeneous Markov chain method. The estimated results indicates that racial and gender minority farms have higher financial vulnerability.

Suggested Citation

  • Li, Xiaofei & Escalante, Cesar L. & Dodson, Charles B., 2015. "A Credit Migration Analysis of the Financial Vitality of Female and Racial Minority Borrowers of the Farm Service Agency under Recessionary Conditions," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205038, Agricultural and Applied Economics Association.
    • Handle: RePEc:ags:aaea15:205038
    DOI: 10.22004/ag.econ.205038
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    References listed on IDEAS

    as
    1. Xiaohui Deng & Cesar L. Escalante & Peter J. Barry & Yingzhuo Yu, 2007. "Markov chain models for farm credit risk migration analysis," Agricultural Finance Review, Emerald Group Publishing Limited, vol. 67(1), pages 99-117, May.
    2. Til Schuermann & Yusuf Jafry, 2003. "Measurement and Estimation of Credit Migration Matrices," Center for Financial Institutions Working Papers 03-08, Wharton School Center for Financial Institutions, University of Pennsylvania.
    3. Lando, David & Skodeberg, Torben M., 2002. "Analyzing rating transitions and rating drift with continuous observations," Journal of Banking & Finance, Elsevier, vol. 26(2-3), pages 423-444, March.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Agribusiness; Agricultural Finance; Risk and Uncertainty;
    All these keywords.

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