Foehn wind environment with strong and gusty winds. Explanations of the foehn warming and drying effect in popular literature or on the web often single out just one causal mechanism (#1 - Condensation and Precipitation - in the below), but there are in fact four known causes (illustrated in the schematic at top right of this page). These mechanisms often act together, with their contributions varying depending on the size and shape of the mountain barrier and on the meteorological conditions, for example the upstream wind speed, temperature and humidity. 1) Condensation and precipitation: When air is forced upwards over elevated terrain,
Weather risk management "Accounting for weather derivatives" provides guidance on accounting for weather derivatives that are not exchange–traded. Entities that enter into speculatives or trading non–exchange derivatives contracts should apply the intrinsic method. Weather risk management Weather risk management is a type of risk management done by organizations to address potential financial losses caused by unusual weather. Energy, agriculture, transportation, construction, municipalities, school districts, travel, food processors, retail sales and real estate are all examples of industries whose operations and profits can be significantly affected by the weather. For example, unusually mild winters diminish consumer demand for heating and erode the profit margins