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Review of “Consumption Insurance: An Evaluation of Risk-Bearing Systems in Low-Income Economies”

Number of pages: 16

ABSTRACT:
A 16 page paper reviewing this article (Journal of Economic Perspectives, Summer 1995) examining trends in consumption insurance in selected regions of India, Thailand and the Ivory Coast. The author maintains that the availability of better insurance can result in marked improvement in the condition of farmers in developing countries, and that improved financial systems can be beneficial to farmers in creating passive incomes as well as providing means of protecting the assets they have worked so hard to accumulate. The author’s results and conclusions appear to be valid to the degree that they can be explained in terms of his theory of full insurance, but his discovery of facts uncovered leads to opportunities for further research; inclusion of a qualitative component; and consideration of the situation in developed economies where insurance is becoming less accessible to increasing numbers of households. Bibliography lists 8 sources.

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File: CC6_KSeconInsurRev.rtf

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