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Bulletin of UASVM Horticulture
Year: 2008  |  Volume: 65  |  Issue: 2  |  Page No.: 100 - 105


Mirela CRISTEA and Raluca DRACEA    

Abstract: In this paper, we present a simulation model and other modalities of reducing the risk impacts for the agricultural field, which is characterised by a strong exposure to risk. While in other sectors the main factors are economic, social and operational, agriculture has both these risks, plus the factors of weather. Applying the simulation model, individual farmers can cuantify the costs and benefits of risk reducing policies and create risk-related effects on their decisions. Adapting the model for every individual farmers, they can manage the impact of risks against their production by taking properly decisions regarding the use of land and other inputs, and also with respect to government payments and other risk reduction strategies that they can use. After looking at the agricultural tools applied in America and different countries from Europe, we underline the importance of the public-private relation in sustaining of agricultural insurance. The most sophisticated agricultural insurance scheme is MPCI one used in America which can inspire the European Union one.

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