Abstract
The Stacked Income Protection Plan (STAX) county-level insurance product is analyzed for cotton producers in Texas. In contrast to studies based on representative farms, this analysis uses actual farm-level yield data, which allows one to observe the heterogeneity of STAX effectiveness across farms in a county. The findings indicate that, for most farms, STAX is not a very effective alternative to farm-level crop insurance. However, contrary to observed behavior, the findings suggest that many cotton producers in Texas would benefit from using STAX as a complement to their farm-level crop insurance.
Original language | English |
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Pages (from-to) | 563-584 |
Number of pages | 22 |
Journal | Applied Economic Perspectives and Policy |
Volume | 40 |
Issue number | 4 |
DOIs | |
State | Published - Dec 2018 |
Bibliographical note
Publisher Copyright:© The Author(s) 2018. Published by Oxford University Press on behalf of the Agricultural and Applied Economics Association. All rights reserved.
Keywords
- Cotton
- Crop insurance
- Revenue Protection
- Stacked Income Protection Plan
ASJC Scopus subject areas
- Development
- Economics and Econometrics