(a) There are very few examples of successful private multi-peril crop insurance programs. Why do you think this is? (5 marks)

(b) How have governments ensured a high participation rate in public crop insurance programs? (5 marks)

(c) (10 marks) The federal government currently spends about twice as much on business risk management programs as it spends on research. Would you support this existing allocation (or would you want more of the federal and provincial agricultural budgets to go towards research) if you were a:

i. Young farmer

ii. Older farmer

iii. Consumer (for simplicity assume there is no trade)