Oxford Scholarship Online: Communities and Markets in Economic Development

Communities and Markets in Economic Development Aoki, Masahiko Henri and Tomoye Takahashi Professor, Economics Department, Stanford University, and Director General, Research Institute, Ministry of International Trade and Industry, Government of Japan Hayami, Yujiro Director, FASID Graduate Programme, and Professor, National Graduate Institute for Policy Studies Print publication date: 2001 (this edition) Published to Oxford Scholarship Online: August 2004 Print ISBN-13: 978-0-19-924101-9 doi:10.1093/0199241015.003.0008
8 Risk and Insurance in Transition: Perspectives from Zouping County, Jonathan Morduch Terry Sicular This chapter discusses how rural households in Zouping County, Shandong Province, China, cope with increased economic risk and loss of pre-existing financial and insurance mechanisms. Many households are highly exposed to risk. They cope by relying their own devices such as saving and borrowing, and diversifying their sources of income. Explanations for weak insurance provision are studied and innovative insurance arrangements are proposed. Keywords: insurance, risk management, China, Zouping County, rural households, doi:10.1093/0199241015.003.0008