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Production Practice Alternatives for Income and Suitable Field Day Risk Management

Published online by Cambridge University Press:  28 April 2015

Carl R. Dillon
Carl R. Dillon*
Affiliation:
Department of Agricultural Economics, University of Kentucky, Lexington, Kentucky
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Abstract

Production risk includes yield and days suitable for fieldwork variability. Both were modeled using biophysical simulation and a mean-variance, chance-constrained mathematical programming formulation representing a Kentucky corn, soybean, and wheat producer. While crop diversification, planting date, and maturity group can be used to reduce the types of risk considered, interaction between the two influences how production practices are used to manage risk. For the conditions studied, plant population alterations were less effective for risk reduction of either component. The study provides evidence of the importance of the consideration of both elements of production risk in whole farm planning.

Keywords

days suitable for fieldworkmathematical programmingrisk management
Type
Invited Paper Sessions
Information
Journal of Agricultural and Applied Economics , Volume 31 , Issue 2 , August 1999 , pp. 247 - 261
Copyright
Copyright © Southern Agricultural Economics Association 1999

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