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Article

Who Is Afraid of Biotic Threats? An Econometric Analysis of Veneto Wine Grape Farmers’ Propensity to Insure

Department of Land, Environment, Agriculture and Forestry, University of Padua, Via dell’Università 16, 35020 Legnaro (PD), Italy
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Author to whom correspondence should be addressed.
Agriculture 2020, 10(8), 336; https://doi.org/10.3390/agriculture10080336
Submission received: 26 June 2020 / Revised: 31 July 2020 / Accepted: 1 August 2020 / Published: 6 August 2020
(This article belongs to the Special Issue Sustainable Viticulture)

Abstract

This paper aims at understanding what affects farmers’ choices to buy insurance against biotic threats. Using a survey-based dataset with 1187 observations on Veneto wine grapes farms, we regress a probit model with endogenous variables with a maximum likelihood (ML) routine. The results corroborate the microeconomic theory according to which risk-adverse individuals are more propense to insure. In our framework, the farmers’ socioeconomic characteristics are treated as endogenous variables, which exist/are predetermined before the choice to insure (or not). This paper discusses the results in a policy perspective.
Keywords: risk aversion/propensity; probit with endogenous regressors; maximum likelihood estimation routing; insurance market; missing markets risk aversion/propensity; probit with endogenous regressors; maximum likelihood estimation routing; insurance market; missing markets

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MDPI and ACS Style

Onofri, L.; Trestini, S.; Boatto, V. Who Is Afraid of Biotic Threats? An Econometric Analysis of Veneto Wine Grape Farmers’ Propensity to Insure. Agriculture 2020, 10, 336. https://doi.org/10.3390/agriculture10080336

AMA Style

Onofri L, Trestini S, Boatto V. Who Is Afraid of Biotic Threats? An Econometric Analysis of Veneto Wine Grape Farmers’ Propensity to Insure. Agriculture. 2020; 10(8):336. https://doi.org/10.3390/agriculture10080336

Chicago/Turabian Style

Onofri, Laura, Samuele Trestini, and Vasco Boatto. 2020. "Who Is Afraid of Biotic Threats? An Econometric Analysis of Veneto Wine Grape Farmers’ Propensity to Insure" Agriculture 10, no. 8: 336. https://doi.org/10.3390/agriculture10080336

APA Style

Onofri, L., Trestini, S., & Boatto, V. (2020). Who Is Afraid of Biotic Threats? An Econometric Analysis of Veneto Wine Grape Farmers’ Propensity to Insure. Agriculture, 10(8), 336. https://doi.org/10.3390/agriculture10080336

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