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RAINFALL‐INDEX INSURANCE AND TECHNOLOGY ADOPTION: EVIDENCE FROM FIELD EXPERIMENT IN TUNISIA
Author(s) -
Ragoubi Noujeima,
Belkacem Lotfi,
Ben Mimoun Anouar
Publication year - 2013
Publication title -
journal of international development
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.533
H-Index - 66
eISSN - 1099-1328
pISSN - 0954-1748
DOI - 10.1002/jid.2921
Subject(s) - index (typography) , production (economics) , agricultural economics , crop insurance , economics , agriculture , geography , computer science , microeconomics , archaeology , world wide web
This paper deals with the impact of rainfall‐index insurance on the adoption of new varieties of durum wheat by Tunisian farmers. We use a mathematical programming model called ‘focus‐loss’ to determine the optimal production of four representative farms in the region of Beja, in the northwest, with rainfall‐index insurance and without rainfall‐index insurance. Results show that the expected net incomes are higher under with rainfall‐index insurance scenario. Furthermore, for the latter, optimal production structures include new varieties of durum wheat. Copyright © 2013 John Wiley & Sons, Ltd.