Agricultural Finance

The study of economics by definition is the study of alternatives. Demand is developed from the choices that consumers make based on their preferences and the money they have to spend. Although supply and demand remains pivotal to any analysis of agriculture, it is important to take into account additional factors such as property rights, government interventions through trade barriers and environmental restrictions, and incomplete or imperfect information into account. These institutions are all major factors in an analysis of agricultural finance. Charles Moss and Michael Gunderson of the University of Florida take the student through all aspects of the topic. Commencing with a short primer on financial economics, the authors show how these principles can be brought to bear on the world of agriculture. Topics covered include investment under risk and uncertainty, the role of banks and other financial institutions, liquidity and asset management.