Economics of Agribusiness Universiteit Wageningen Wageningen University
Department of Social Sciences
Agricultural Economics and Code: AEP-33306 Rural Policy Group Hollandseweg 1, ECTS: 6 6706 KN Wageningen Lecturers(s): Dr. Esther Gehrke, esther.gehrke@wur.nl
Dr. Jack Peerlings,
jack.peerlings@wur.nl, tel. 0317 483812
Contact person: Dr. Jack Peerlings
Secretariat: room 2113 (de Leeuwenborch), tel.
0317 84049
Period: 1
First lecture: Monday 2-09-2023 8.20-9.50hrs,
B63
Examination Monday 21-10-2023
date: 8.30-11.30hrs, C0004 (de Bongerd)
Brightspace: Available
Contents: 1. Target group and prerequisite
courses 2. Contents and learning outcomes 3. Language of instruction and examination 4. Learning materials and resources 5. Organisation 6. Attendance at the lectures and tutorials 7. Assessment strategy 8. Course schedule 1. Target group and prerequisite courses This course is part of the study programmes BBC-A (compulsory), MOA-B (choice), and the BSc minor WUABM (compulsory). The course can also be followed by other interested students. Basic knowledge of microeconomics (at the level of UEC10406 Microeconomics and Behaviour) and mathematics (at the level of MAT-12806 Mathematics M: Mathematics for Social Sciences) is required. There are no explicit prerequisite courses.
2. Contents and learning outcomes
Contents Agribusiness is an important economic sector. It includes primary agriculture, food processing industries, and input-delivering industries. This course provides a description and analysis of economic behaviour of actors in agribusiness. The linkages between economic actors through national and international markets and through other co-ordination mechanisms such as contracts receive special attention. Microeconomic and institutional theories are the basis for description and analysis. Important subjects are: position of agribusiness within the economy, firm and consumer behaviour, investment, markets of food products, co-ordination mechanisms and imperfect competition in agribusiness, organisation of food production (e.g. family farms), agricultural and environmental policies and regional and international trade in food products. After this course you better understand economic phenomena as future markets, oligopolies, policy intervention and family farms in agriculture.
Learning outcomes After successful completion of this course students are expected to be able to: • reproduce microeconomic descriptions and theories that are relevant for agribusiness; • solve and interpret the results of microeconomic exercises on agribusiness; • analyse behaviour of agents in agribusiness; • explain economic phenomena using microeconomic and institutional theory.
3. Language of instruction and examination
The language of instruction is English. Course materials and exam are also in English.
4. Learning materials and resources
Syllabus: Esther Gehrke and Jack Peerlings, Economics of Agribusiness 2024/2025 (there are compared to last year’s syllabus some textual changes, clarifications and updates). The syllabus is only available via Brightspace. Besides the syllabus there is also a bundle of exercises and a bundle of slides with lecture notes. There are also changes in these bundles. They are also only available via Brightspace.
5. Organisation The course consists of five parts: 1. First, there are lectures on Monday and Tuesday. At each lecture one chapter of the syllabus will be discussed. In the first week on Tuesday a highly recommended refresher in mathematics and economics is provided. 2. Second, there is a computer practical on Wednesday (except in the first week). At the computer practical you have to work on an exercise that involves simulations with an economic model in Excel that relates to the topic of that week. There are two groups, it will be announced on Brightspace at the end of the first week in which group you are. The practical is compulsory and is an important tool to help you to master the (often complicated) material. Please work in pairs and bring your own computer with you. In week 1 there is no computer practical on Wednesday but a lecture (see point 5). 3. Third, there is a tutorial on Thursday where solutions to exercises will be discussed. This is an essential part of the course. Doing the exercises weekly is the best guarantee to pass the course. 4. Fourth, there is a test each Friday (also in the first week). The tests cover the material discussed during the lectures, computer practicals and tutorials. The test will be put on Brightspace Thursday afternoon late, and is scheduled to take 40 minutes. The answers will be made available Friday after 14.00hrs on Brightspace. The test is not compulsory, will not be corrected and marked and should be viewed as a way to help you to master the (often complicated) material. It is strongly recommend to do the test, it helps you to be up to date and the questions resemble the exam questions closely. 5. Finally, in the first week on Wednesday 4 September 8.20-9.50hrs there will be a lecture on the nitrogen crisis. The lecture gives insight in this complicated issue and will introduce many of the topics discussed in this course.
6. Attendance at the lectures and tutorials
The pass rate for this course is low because students tend to underestimate it, please do not. The course is relatively more challenging than most other courses. It is therefore important to attend the lectures and tutorials, prepare yourselves well for the Thursday’s tutorial and do the weekly test. In case you cannot come to one of the lectures or tutorial you can view the recordings that will be made available as soon as possible after the lecture or tutorial has finished. There will be no livestream (this is the general policy of Wageningen University).
7. Assessment strategy (Toetsplan)
Learning outcomes / tested by A. Computer B. Weekly C. Written practical Friday Tests exam 1. Reproduce microeconomic descriptions and theories X X that are relevant for agribusiness 2. Solve and interpret the results of microeconomic X X X exercises on agribusiness 3. Analyse behaviour of agents in agribusiness X X X 4. Explain economic phenomena using microeconomic X X X and institutional theory
Contribution to final mark (%) No grade No grade 100
A. On Wednesday morning 8.20-11.30hrs you have to attend the compulsory
computer practical and you can ask questions. B. A test comprises of a mix of true/false statements and open questions. The tests are not compulsory but strongly recommended. It is strongly advised to do the test without using the material for this course to mimic the exam as closely as possible and to test whether you really understand the material. C. The written exam is a mix of true/false statements and open questions. Examiners: Esther Gehrke / Students cannot use the syllabus and material from the tutorials and computer Jack Peerlings practicals. The mark for the written exam counts for 100% of the final mark. To pass the course, a minimum final mark of 5.5 needs to be attained.
Graphical/scientific calculators and mobile telephones are not allowed at the exam. Only simple calculators are allowed. This is the general policy of all chair groups in economics. 8. Course schedule Week Monday Tuesday Wednesday Thursday Friday 8.20-9.50hrs 8.20-9.50hrs Group 1: 8.20-9.50hrs morning 8.20-9.50hrs Group 2: Home, outcomes 10.00-11.30hrs are available on Except in first Brightspace week after 14.00hrs
1 Lecture Ch. 1 Lecture Lecture on Tutorial Ch.1 and Test Ch. 1
