One of the most fundamental and traditional risk management tools available to agricultural producers is a savings account. Cash reserves in savings provide a safety net for producers, allowing financial obligations and living expenses to be met when unexpected shortfalls in income occur. Crop...

This study focuses on managing cotton production and marketing risks using combinations of irrigation levels, put options (as price insurance), and crop insurance. Stochastic cotton yields and prices are used to simulate a whole-farm financial statement for a 1,000 acre furrow irrigated cotton...

The economic feasibility of producing ethanol from sweet sorghum juice is projected using Monte Carlo simulation models to estimate the price ethanol plants will likely have to pay for sweet sorghum and the uncertain returns for ethanol plants. Ethanol plants in high yielding regions will likely...

A Monte Carlo simulation model was constructed to analyze the economic feasibility of growing algae as a renewable fuel source. Increasing growth rates, pond water depth, oil content, and facility size are important for ensuring the economic viability of a commercial algae facility.

The Dungeness is a popular food and the most commercially important crab in the western states in the U.S. Like all agricultural production, the crab fisherman face yield risks and must manage these risks. In addition to weather risk, crab fisherman may experience low yields if the crabs are...

The Dungeness is a popular food and the most commercially important crab in the western states in the U.S. Like all agricultural production, the crab fisherman face yield risks and must manage these risks. In addition to weather risk, crab fisherman may experience low yields if the crabs are...