Arrow (1965) stated that making markets for trading risk more complete can be socially beneficial. Within this perspective, we discuss the feasibility of farm revenue insurance for Australian agriculture. The feasibility is first discussed from an insurer's point of view. Well-known problems of...

The economic literature on pest control exclusively assumes a non-negative marginal product of pesticides based on a monotonic non-decreasing function of damage abatement, which may bias pesticide productivity estimates. This paper proposes a specification that allows for a negative marginal...