{"title":"Using Bayesian Kriging for spatial smoothing of trends in non-normal yield densities","authors":"Bart Niyibizi, B. Brorsen, Eunchun Park","doi":"10.1108/afr-04-2021-0042","DOIUrl":null,"url":null,"abstract":"PurposeThe purpose of this paper is to estimate crop yield densities considering time trends in the first three moments and spatially varying coefficients.Design/methodology/approachYield density parameters are assumed to be spatially correlated, through a Gaussian spatial process. This study spatially smooth multiple parameters using Bayesian Kriging.FindingsAssuming that county yields follow skew normal distributions, the location parameter increased faster in the eastern and northwestern counties of Iowa, while the scale increased faster in southern counties and the shape parameter increased more (implying less left skewness) in southwestern counties. Over time, the mean has increased sharply, while the variance and left skewness increased modestly.Originality/valueBayesian Kriging can smooth time-varying yield distributions, handle unbalanced panel data and provide estimates when data are missing. Most past models used a two-stage estimation procedure, while our procedure estimates parameters jointly.","PeriodicalId":46748,"journal":{"name":"Agricultural Finance Review","volume":" ","pages":""},"PeriodicalIF":1.5000,"publicationDate":"2021-10-12","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"1","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Agricultural Finance Review","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.1108/afr-04-2021-0042","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q3","JCRName":"AGRICULTURAL ECONOMICS & POLICY","Score":null,"Total":0}
引用次数: 1
Abstract
PurposeThe purpose of this paper is to estimate crop yield densities considering time trends in the first three moments and spatially varying coefficients.Design/methodology/approachYield density parameters are assumed to be spatially correlated, through a Gaussian spatial process. This study spatially smooth multiple parameters using Bayesian Kriging.FindingsAssuming that county yields follow skew normal distributions, the location parameter increased faster in the eastern and northwestern counties of Iowa, while the scale increased faster in southern counties and the shape parameter increased more (implying less left skewness) in southwestern counties. Over time, the mean has increased sharply, while the variance and left skewness increased modestly.Originality/valueBayesian Kriging can smooth time-varying yield distributions, handle unbalanced panel data and provide estimates when data are missing. Most past models used a two-stage estimation procedure, while our procedure estimates parameters jointly.
期刊介绍:
Agricultural Finance Review provides a rigorous forum for the publication of theory and empirical work related solely to issues in agricultural and agribusiness finance. Contributions come from academic and industry experts across the world and address a wide range of topics including: Agricultural finance, Agricultural policy related to agricultural finance and risk issues, Agricultural lending and credit issues, Farm credit, Businesses and financial risks affecting agriculture and agribusiness, Agricultural policies affecting farm or agribusiness risks and profitability, Risk management strategies including the use of futures and options, Rural credit in developing economies, Microfinance and microcredit applied to agriculture and rural development, Financial efficiency, Agriculture insurance and reinsurance. Agricultural Finance Review is committed to research addressing (1) factors affecting or influencing the financing of agriculture and agribusiness in both developed and developing nations; (2) the broadest aspect of risk assessment and risk management strategies affecting agriculture; and (3) government policies affecting farm profitability, liquidity, and access to credit.