Ontology highlight
ABSTRACT:
SUBMITTER: Dalhaus T
PROVIDER: S-EPMC7194365 | biostudies-literature | 2020
REPOSITORIES: biostudies-literature
Dalhaus Tobias T Barnett Barry J BJ Finger Robert R
PloS one 20200501 5
Experience across many countries shows that, without large premium subsidies, crop insurance uptake rates are generally low. In this article, we propose to use the cumulative prospect theory to design weather insurance products for situations in which farmers frame insurance narrowly as a stand-alone investment. To this end, we introduce what we call "behavioral weather insurance" whereby insurance contract parameters are adjusted to correspond more closely with farmers' preferences. Depending o ...[more]