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Abstract

The paper attempts to measure the income risk of major crops in four selected Districts in Bangladesh. This was done by suitably combining the estimated variance-covariance matrices of random disturbances associated with both crop outputs and prices. Ranking of crops in terms of estimated income variances showed that jute occupied the top position followed by pulses, aman rice, oilseeds, aus rice and IRRI boro. This may give some idea of relative riskiness of various crops in Bangladesh.

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