THE IMPACT OF PRICE STABILIZING POLICIES ON THE RISK EFFICIENT CROP/FALLOW DECISIONS OF WHEAT FARMERS IN THE BROWN SOIL ZONE OF SASKATCHEWAN

摘要

The micro-linkages between the crop/fallow decision and price-induced risk are examined for wheat producers located on the brown soils of Saskatchewan. Three generic price stabilization policies are defined. Based on a bio-economic simulation model, the risk-efficient FLEXCROP decision rules are selected, and their corresponding cropping patterns are assessed for each generic price stabilization policy. Assuming no subsidy component within the mandatory price stabilization program: