Optimal Harvest Decisions under Production Risk: A Case of Ginseng in Korea

• 발행기관: 한국농업경제학회
• 저자명: Yongjoon Kim Donghwan An Kwansoo Kim
• 간행물 정보: 『농업경제연구』56권 4호, 87~108쪽, 전체 22쪽
• 주제분류: 경제경영 > 경제학
• 파일형태: PDF
• 발행일자: 2015.12.30

영문 초록

Korean ginseng has been a major cash crop in Korea and the importance of ginseng industry has been widely accepted. However, while there is an increasing demand for 6-year-old ginseng, producing 6-year-old ginseng is not an easy task because of production risk (e.g., diseases, insect pests) involved in the mature process of ginseng. Thus, from a ginseng growers’ perspective, optimal harvest decision is important. This paper uses an asset replacement model to investigate optimal harvest decision. By utilizing a discrete dynamic programming approach, it was found that the pro-duction of 4-year-old ginseng is an optimal choice under the production risk involving gray mold which is one of the major ginseng related diseases. The sensitivity analysis also supports this finding.

목차

Ⅰ. Introduction

Ⅱ. Model and Data

Ⅲ. Estimation Results

Ⅳ. Summary and Concluding Remarks

키워드

Korean ginseng production risk gray mold asset replacement model discrete dynamic programming