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Risk and Risk Management in Organic and Conventional Cash Crop Farming in Norway

Koesling, Matthias; Ebbesvik, Martha; Lien, Gudbrand; Flaten, Ola; Valle, Paul Steinar and Arntzen, Halvard (2004) Risk and Risk Management in Organic and Conventional Cash Crop Farming in Norway. Acta Agriculturæ Scandinavica Section C - Food Economics, 1 (4), pp. 195-206.

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This study presents empirical insight into organic and conventional cash crop farmers' perceptions of risk and risk management strategies, and identifies socio-economic variables linked to these perceptions. The data originate from a questionnaire survey of farmers in Norway. The results indicate that organic farmers perceived themselves to be less risk averse than conventional farmers. For both groups, crop prices and yield variability were the two top rated sources of risk, followed by institutional risks. The two groups evaluated risk management strategies quite similarly; favoured strategies were good liquidity and to prevent and reduce crop diseases and pests. The farmers' evaluation of sources of risk and choice of risk strategies depended on various socio-economic variables. The importance of institutional risks implies that policy makers should be cautious about changing policy capriciously and they should consider strategic policy initiatives that give farmers more long-term reliability.

EPrint Type:Journal paper
Keywords:arable farming, farmers' goals, multivariate analysis, risk perception, risk responses, socio-economic variables, questionnaire survey, ØKORISK
Subjects: Food systems > Policy environments and social economy
Knowledge management > Education, extension and communication
Farming Systems > Farm economics
Research affiliation: Norway > NILF - Norwegian Agricultural Economics Research Institute
Norway > NORSØK - Norwegian Centre for Organic Agriculture
Norway > Other organizations
Norway > NVI - National Veterinary Institute
Related Links:https://orgprints.org/perl/search/advanced?addtitle%2Ftitle=&addtitle%2Ftitle_merge=ALL&authors=&authors_merge=ALL&editors=&editors_merge=ALL&abstract%2Fengabstract=&abstract%2Fengabstract_merge=ALL&keywords=%C3%98KORISK&keywords_merge=ALL&subjects_merge=A, http://www.norsok.no/prosjekter/okorisk.htm
Deposited By: Koesling, Matthias
ID Code:6541
Deposited On:13 Feb 2006
Last Modified:12 Apr 2010 07:32
Document Language:English
Refereed:Peer-reviewed and accepted

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