Agricultural Finance Review: Volume 64 Issue 2

Application of credit risk models to agricultural lending

Lyubov Zech, Glenn Pederson

A credit risk model suitable for agricultural lenders is identified. The model incorporates sector correlations and is applied to the loan portfolio of an agricultural credit…

Bank risk ratings and the pricing of agricultural loans

Nick Walraven, Peter J. Barry

This paper reviews the prevalence of the use of risk ratings by commercial banks that participated in the Federal Reserve’s Survey of Terms of Bank Lending to Farmers between 1997…

Economic analysis of the standard reinsurance agreement

Dmitry V. Vedenov, Mario J. Miranda, Robert Dismukes, Joseph W. Glauber

An economic analysis is presented of the Standard Reinsurance Agreement (SRA), the contract governing the relationship between the Federal Crop Insurance Corporation and the…

Farm‐level and macroeconomic determinants of farm credit risk migration rates

Cesar L. Escalante, Peter J. Barry, Timothy A. Park, Ebru Demir

Logistic regression techniques for panel data are used to identify factors affecting farm credit transition probabilities. Results indicate that most farm‐specific factors do not…

Factors affecting farm enterprise diversification

Ashok K. Mishra, Hisham S. El‐Osta, Carmen L. Sandretto

Enterprise diversification is a self‐insuring strategy used by farmers to protect against risk. This study examines the impact of various farm, operator, and household…

Competition in farm credit markets: identifying market segments served by the farm credit system and commercial banks

Charles B. Dodson, Steven R. Koenig

Agricultural credit markets are dominated by two institutional retail lender groups, the cooperative Farm Credit System (FCS) and commercial banks. Analysis of farm loans made…