Paper presents possible theoretical approach how different sources of data at farm level, national statistics and analytical models could be merged and utilised in simulation process to analyse income losses at the sector level. It is grounded on production structure resumed out of annual subsidy applications as key information per each agricultural holding. Presented approach’s utilises potential of random number generator and random distributions of Monte Carlo to roughly reconstruct different sources of risks in different states of nature that may occur with diverse probabilities at the particular farm. In such a manner income situation at the farm level is analysed. The developed approach is tested on dairy farms in Slovenia. Obtained results suggest that this could be useful approach for rough estimation of income risk and points on some limitations and drawbacks that could be further improved.
Paper presents possible approaches of risk management in agriculture. Main risk sources are first systematically presented with special focus on production and market-price risks. Further approach of risk layering is presented, followed by key possibilities of risk management in agriculture including varieties of price, revenue and income insurance programmes. Regarding the relevant literature review main government risk management measures and tasks are presented.
The paper presents multiple criteria approach to deal with risk in farmers' decisions. The optimisation concept is based on deterministic and stochastic mathematical programming techniques.
COBISS.SI-ID: 3001992
In the paper we present an approach how farmer's risk aversion could be estimated indirectly. This is particularly beneficial if one analyses hypothetical farms with absence of decision markers, as for example in the case of representative farms that are usually used for systematic studying. Applied approach, is based on mathematical programming methods. The main idea is to use current farm practice as a baseline and to calculate missing data with partial optimization process. Non-interactive procedure based on expectedvalue-variance framework and quadratic programming paradigm minimising variance has been applied to estimate their risk aversion. To demonstrate applicability of the approach, three representative dairy farms were analysed. Obtained results indicate high relative risk aversion in all three cases.
COBISS.SI-ID: 2866056
Today, in many companies in Slovenia's going to lead companies do not provide adequate monitoring of the risks to which the entity is exposed in its operations. Also, many companies have not taken adequate measures to manage these risks, and there is no guarantee adequate internal control system in all areas of business operations. Since the financial risk certainly those risks which are associated maximum potential loss of business, is one of the aims of contribution to show how the companies manage financial risks such as market and credit risk. An important goal of this paper is to also provide the most practical, how companies define leadership attitude to financial risks, how they are measured and managed. The aim is to produce an analysis of the potential policy areas of financial risk management business, which may be generally useful for any company in Slovenia, where by the latter further elaborated in detail, of course, taking into account the specificity of its operations and specificity of exposure to each type of financial risk. For each type of financial risk, we first give a description of the risks and consequences of each, and then the priority of debt and further emphasized the possible measures to manage each risk. We found that the contribution of the proposed measures to curb trading, foreign exchange, liquidity, interest rate and credit risk of companies provide a good basis for the management of individual companies, the latter shall take concrete decisions and entrusted to a single person or organizational unit underpinning the policy areas of financial risk management, incurred by individual companies. Finally, those responsible for risk management companies can assist in establishing internal controls and measures to control financial risks, including the original way shown tabular overview of certain types of financial risks, the consequences of failure to control risk and a review of possible concrete measures to manage these risks. We need to gather within companies only enough power and knowledge to successfully get to work