FARM OPERATING RISK AND CASH RENT DETERMINATION
By: Turvey, Calum G.; Baker, Timothy G.; Weersink, Alfons
Turvey, Calum G.; Baker, Timothy G.; Weersink, Alfons, FARM OPERATING RISK AND CASH RENT DETERMINATION, Journal of Agricultural and Resource Economics, Volume 17, Issue 1, July 1992, Pages 103-109
This article examines farm operating risks and cash-rent determination through the use of the efficient set mathematics. The efficient set mathematics proves to be a pragmatic approach to characterizing operating risks, and the relationships between operating risks and cash-rent determination. Various separation theorems are used to postulate the relationship between operating risk and cash rents. Preliminary evidence appears to support the theoretical conclusion that opperating risk and cash-rent determination are related.