... is used to evaluate the systemic risk and diversification effect. Findings The results indicate that the systemic nature – both positive correlation and lower tail dependence – of crop yield risks can be eliminated by combining crop insurance policies across crops and countries. Originality/value...

... lead to the mitigation of these small sample issues. © Emerald Group Publishing Limited 2014 Crop insurance Bootstrap Copula Spatial autocorrelation Systemic risk Yield distribution Recent passage of the much – delayed Farm Bill serves to further strengthen the critical role...

... the advocated method show that in 1997 there was a 5% probability RMA would have had to reimburse at least $1 billion to insurance companies, and the fair value of RMA’s insurance services to insurance firms in 1997 was $78.7 million. Systemic Risk in U.S. Crop Reinsurance Programs Chuck Mason, Dermot J. Hayes...