Law Commons^™

Hedging To Safety: A Political Economy Of Derivatives, Risk And Agriculture In The Developing World, Sasha Coler Breger Bush

Electronic Theses and Dissertations

It has become common for researchers and international development institutions to recommend the use of derivative instruments to developing country farmers and policymakers as a means of insuring agricultural incomes against the threats posed by volatile global commodity prices. Despite such enthusiasm, very little research to date examines whether or not derivative instruments actually can deliver income support to agricultural producers who face commodity price risk. This dissertation evaluates these recommendations, focusing upon the potential income security benefits of hedging with futures instruments for coffee farmers in Mexico, Brazil and Uganda during the 1998-2002 coffee crisis. The three-part quantitative and …