Risk considerations in the economic assessment of low-input crop production techniques: an example from Swiss wheat production

Author

Robert Finger

International Journal of Agricultural Resources, Governance and Ecology, 2014, vol. 10, issue 1, pages 63-77

Abstract: The role of risks in the adoption of low-input wheat production in Switzerland is investigated using farm-level panel data. Due to governmental support with environmental payments, low-input wheat production is found to be on average more profitable. However, low-input production is also more risky, in particular due to higher yield variability. The here presented analysis reveals that these production risks could become a decisive factor in farmers' adoption decisions of risk-averse farmers if environmental payments were to be reduced or abolished.

Keywords: low-input crop production; production risks; economic assessment; yield variability; price variability; Switzerland; risk assessment; wheat production; government support; environmental payments; risk-averse farmers. (search for similar items in EconPapers)
Date: 2014
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