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Share Tenancy, Ownership Structure, and Prevented Planting Claims in Crop Insurance
Author(s) -
Rejesus Roderick M.,
Escalante Cesar L.,
Lovell Ashley C.
Publication year - 2005
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.1111/j.0002-9092.2005.00710.x
Subject(s) - crop insurance , leasehold estate , probit model , heteroscedasticity , probit , sowing , business , estimation , economics , actuarial science , agriculture , econometrics , agronomy , ecology , management , political science , law , biology
A conceptual model based on opportunity cost and expected utility principles establishes linkages between the likelihood of prevented planting claims in crop insurance and existing share leasing arrangements/internal farm business structures. Results of heteroskedastic probit estimation procedures indicate that simpler internal business structures and more dominant farmer‐tenant leasing position can increase the probability of submitting a prevented planting claim.