Research Conducted at University of Wisconsin Madison Has Updated Our Knowledge about Crop Insurance (Race and Premium Misrating In the Us Federal Crop Insurance Program): Agriculture – Crop Insurance

2023 OCT 03 (NewsRx) -- By a News Reporter-Staff News Editor at Agriculture Daily -- A new study on Agriculture - Crop Insurance is now available. According to news reporting from Madison, Wisconsin, by NewsRx journalists, research stated, “USDA farm support programs have an established history of racial discrimination. Today, the Federal Crop Insurance Program is among the largest and most important programs available to U.S. farmers.”

The news correspondents obtained a quote from the research from the University of Wisconsin Madison, “Previous research has documented systematic misrating of crop insurance premiums with sizable welfare implications. In this paper, we explore whether producer race measured at the county level has explanatory power in a model of crop insurance misrating. We find that in some cases it does, raising concerns about the possibilities of racially discriminatory impacts of the RMA’s rate-setting methodology.”

According to the news reporters, the research concluded: “Further research is needed to isolate the mechanisms that explain our findings.”

This research has been peer-reviewed.

For more information on this research see: Race and Premium Misrating In the Us Federal Crop Insurance Program. Applied Economic Perspectives and Policy, 2023. Applied Economic Perspectives and Policy can be contacted at: Wiley, 111 River St, Hoboken 07030-5774, NJ, USA. (Oxford University Press - http://www.oup.com/; Applied Economic Perspectives and Policy - aepp.oxfordjournals.org)

Our news journalists report that additional information may be obtained by contacting Andrew W. Stevens, University of Wisconsin Madison, Dept. of Agricultural and Applied Economics, 427 Lorch St, Madison, WI 53703, United States.

The direct object identifier (DOI) for that additional information is: https://doi.org/10.1002/aepp.13397. This DOI is a link to an online electronic document that is either free or for purchase, and can be your direct source for a journal article and its citation.

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