DIVERSIFICATION AS A RISK STRATEGY IN TIMES OF CHANGE: A STUDY IN THE EASTERN ORANGE FREE STATE

Autor:	J. van Zyl, H J Sartorius von Bach, H. D. van Schalkwyk, H R Binding
Rok vydání:	1993
Předmět:	Risk neutrality Economics and Econometrics Free state Seekers Entrepreneurship Actuarial science Financial economics Geography Planning and Development Situated Diversification (finance) Economics Orange (colour) Agronomy and Crop Science
Zdroj:	Agrekon. 32:182-186
ISSN:	2078-0400 0303-1853
DOI:	10.1080/03031853.1993.9524740
Popis:	Data from 100 commercial farmers in the Aberfeldy pedosystem (situated in the Northeastern Orange Free Sate) were used to analyse diversification as a risk alleviating strategy. In theory, diversification reduces risk, but when the ability with respect to management or entrepreneurship is ignored, diversification may increase risk. Results show that any excessive attitude towards risk is undesirable. Both risk averters and risk seekers showed a greater probability of finacial deterioration or failure. Risk neutrality seems to be the optimal strategy.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::e0b798d48647f972b6c089326c6fd77a https://doi.org/10.1080/03031853.1993.9524740 Zobrazit plný text záznamu