MANAGEMENT STRATEGIES FOR INDONESIAN SMALL-HOLDER RUBBER PRODUCTION IN SOUTH SUMATRA: A BIOECONOMIC ANALYSIS

A simplified version of the BEAM Rubber Agroforestry Model is embedded in a dynamic economic model to examine the impact of uncertainty about prices and climate on decision variables. Solutions, in terms of optimal levels for decision variables are found using a Monte Carlo stochastic framework. These solutions were used to derive risk-efficient frontiers corresponding to different levels of the decision variables. The results underline the importance of including uncertainty in dynamic bioeconomic systems since profits under uncertainty turned out to be quite different from those obtained with prices and climate assumed to be constant.


Issue Date:
1999
Publication Type:
Working or Discussion Paper
DOI and Other Identifiers:
Record Identifier:
https://ageconsearch.umn.edu/record/12936
PURL Identifier:
http://purl.umn.edu/12936
Total Pages:
20
Series Statement:
Working Paper 99-14




 Record created 2017-04-01, last modified 2020-10-28

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