Pluralismus und versicherung — eine Einführung

Insurance markets and economic financial theory are characterised by a growing diversification and pluralism. A structure is needed to describe the diversification of theory and practice of insurance business. This paper develops such a structure. In addition it shows how new theoretical concepts have lead to new products and new organisational structures on insurance markets. The development in the past decade has shown a close interaction between economic theory and insurance practice. This paper tries to show this interaction by refering to the pluralism of insurance markets.     

Hedge-Fonds als Asset-Klasse: Betrachtungen aus der Perspektive der deutschen Versicherungswirtschaft

The over performance of hedge funds until the current financial market turbulences led to a large number of insurers increasing their hedge funds quota. In the following this asset class is examined and particularly analyzed with respect to its adequacy for an insurance company's asset allocation by focusing on the axiom of safety, as demanded by national law. The problem of survivorship-bias and the Markowitz requirements of normal-distribution and constant correlations among the asset classes and their impact on a strategic asset allocation are studied.     

How Big is the Crowding-Out Effect of User Fees in the Rural Areas of Ethiopia? Implications for Equity and Resources Mobilization

Using a nested multinomial logit model, this study investigates the demand “reduction” and “diversion” effects of user fees in rural areas of Ethiopia. The results reveal that an increase in user fees of public clinics, which are the most widely used alternative, can have a significant demand reduction effect on the poorest of the poor. This implies that despite cost recovery has been advocated as an alternative means of health care financing in most of the developing world, increasing user fees may drive the poorest segment of the population out of the health care market unless some protective measures are taken.     

Incentives and disincentives for diversified agroforestry systems from different actors’ perspectives in Bolivia

Even though diversified agroforestry systems can provide sustainable livelihoods and a resilient production of different goods, adoption remains limited in Bolivia. We examine major obstacles to agroforestry adoption and possible incentives proposed by farmers and civil-society organizations, and relate them to governance and international mechanisms that might play a role in agroforestry adoption. Market access for produce from diversified agroforestry remains difficult, as does its processing and transport. Moreover, farmers have difficulties in achieving the quantities and homogenous quality demanded by markets in the major cities. But most importantly, farmers and civil-society organizations saw little government support, although ‘ecological production in harmony with Mother Earth’ is prescribed by law and the constitution. Agroforestry farmers needed support most urgently in the initial phase, when investment costs are high and returns low. They suggested affordable credits, subsidies for diversified farming systems, and insurance against fire. We identified important albeit small steps towards developing markets for agroforestry products, but government support – mostly in the form of diesel subsidies, materials, and infrastructure – mainly benefitted large-scale monocultures and cattle ranching. In response to this, interviewees opted for strengthening farmers’ organizations, for demanding support with the help of civil-society organizations, and for disseminating best practices.     

Why Farmers Quit: A County-Level Analysis

We identify the effects of alternative explanatory variables on the propensity of U.S. farmers to cease farming, with a particular emphasis on understanding the roles of off-farm employment and federal farm program payments. Conventional ordinary least squares analysis using all counties suggests that off-farm employment has no statistical effect on the (net) number of farmers quitting between 1987 and 1997, ceteris paribus . A more refined analysis, which separates counties losing farmers from those that gained farmers, reveals subtle and less clear-cut effects of off-farm employment (and federal program payments) on farm exits.     

What drives stock market integration? An analysis using agribusiness stocks

This article explores the drivers of regional stock market integration with a focus on the agribusiness sector across relevant regional trade blocs around the world. We implement panel cointegration models to analyze the stock indices of agribusiness firms in the Southern Common Market (MERCOSUR), European Union (EU), Asia‐Pacific Economic Cooperation (APEC), and North American Free Trade Agreement (NAFTA). Based on the literature on market integration and stock return pricing, we identify nine possible determinants of stock market integration, which we separate into three categories: individual market performance, macroeconomic conditions, and agricultural trade. In our analysis, we account for agriculture‐specific factors to control for possible structural shifts in financial markets regimes by including the two main commodity price bubbles during last 20 years. Our results show that most of the variables included in our categories have been important factors in promoting regional stock market integration. Moreover, integration among regional stock markets was strengthened by the implementation of trade agreements. This effect is stronger in trade blocs with fewer members, such as NAFTA and MERCOSUR, compared with larger and more heterogeneous blocs, such as the EU and APEC.     

Food Beliefs: Elicitation,Estimation and Implications for Labeling Policy

We present a model in which consumers use product attributes (or labels) and their own beliefs to form expectations about the quality of a product. We use best–worst scaling to elicit beliefs, and study how information may influence these beliefs. In our ranking experiments, participants sort different milk products according to (perceived) nutritional or environmental quality, and we use the resulting choice data to recover beliefs econometrically. In a nutritional quality experiment, we measure how food labels (i.e. front‐of‐package, back‐of‐package and ratio of recommended to restricted nutrients) alter consumers’ beliefs, finding that truthful attribute information may sometimes mislead consumers. The discussion explains how similar experiments could be used to distinguish informative labels from marketing messages.     

Effects of scale economies and production seasonality on optimal hub locations: the case of regional fresh produce aggregation

Interest in supporting local and regional food systems is rising and food hubs have attracted considerable attention among Federal, State, and local policymakers. This study explores the problem of endogenous hub location in fresh produce value chains in the Northeastern United States. To overcome limitations in the literature, we incorporate the effects of economies of scale and production seasonality into our models. Three experimental models are designed to examine the effects of alternatively applying yearly, quarterly, and monthly data on model solutions. We explicitly assess how interactions of scale economies and seasonality influence the structure and spatial attributes of an optimal regional produce aggregation hub system. The three models generate marketed different solutions and in many respects they lead to different conclusions about developing local/regional supply chains. The monthly model allows for production seasonality and actual hub operation cycle frequency and thus leads to more efficient hub solution with rich policy implications.