UNIVERSITY EXAMINATIONS

Sept/Nov 2021

AME1501
INTRODUCTION TO AGRICULTURAL ECONOMICS
HOMEMYEXM
MARKS: 100
Duration: 72 hours

This paper consists of five (5) pages.

Instructions:

• This is a closed book assessment.

• Write your student number, surname, initials, module name and code on the cover page.

• Read each question carefully before you answer it.

• Use the same numbers for your answers as those used for the questions in the examination
paper.

• You will require a laptop/PC/tablet with access to the internet to complete the assessment.

• Smart phones can be used to photograph (scan) hand-written pages and collate them into a
file for upload.

• Smart phones can also be used as a Wi-Fi hotspot for internet connectivity.

• Submit the portfolio within 72 hours of downloading it from the myUnisa module site.

• The portfolio should be submitted on the myUnisa module site in PDF format.

• Provide references for all the sources cited in the document.

• A signed declaration of honesty must be submitted together with the online assessment.

• NO emailed scripts will be accepted

• Students experiencing technical challenges, contact the SCSC 080 000 1870 or email
Examenquiries@unisa.ac.za or refer to URL link for the list of additional contact numbers
or alternatively email your module lecturer at noyakb@unisa.ac.za. ONLY communication
from your myLIfe account will be considered.
•
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Open Rubric
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AME1501
Sept/Nov 2021
SECTION 1

QUESTION 1 [40 marks]

1.1 Explain the decision-making process in economics. (10)

1.2 Explain the fundamental problem of economics. (05)
1.3 Explain the fundamental economics questions the producer needs to
answer before producing a commodity. (05)
1.4 With the aid of well labeled diagrams differentiate between supply and demand (10)
1.5 Discuss the long-term effects of covid-19 in the South African economy? (10)

QUESTION 2 [40 marks]

2.1 Provide a scenario of a Production Possibly Frontier (PPF) curve between two
agricultural products of your choice and answer the following two questions based
on your PPF:
2.1.1 Provide a table of your data and draw a well labelled PPF curve. (10)
2.1.2 Describe the opportunity cost of your PPF and state the reasons for the shape of
the curve. (10)
2.2 State your area of stay and discuss the market structure that prevails in your
area, stating reasons for choosing that market structure. (10)

2.3 Briefly discuss the following terminologies as applied in agricultural economics:

2.3.1 Technical efficiency. (02)

2.3.2 Economic efficiency. (02)

2.3.3 Economies of scale. (02)

2.3.4 Production function (02)

2.3.5 Minimum efficient scale. (02)

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AME1501
Sept/Nov 2021
QUESTION 3 [20 marks]

3.1 Use a diagram to illustrate and discuss profit maximization. (10)

3.2 Given the data below, complete the table by calculating total cost (TC) and
marginal cost (MC), fixed cost (FC) = R250. (10)
Y Price Revenue VC TC MC

1 60 70 50
2 75 150 70
3 80 210 85
4 85 330 145

5 100 475 210

SECTION 2

The rubric in the table below will be used to mark the portfolio.
Rubric for marking the portfolio

MARKS

1. Cover page 0
2. Introduction 0
3. Section 1
- Question 1 40
- Question 2 40
- Question 3 20
4. Bibliography/references 0
Total 100
You should ensure that the portfolio has a cover page and that the declaration of honesty is
included. The cover page for the online portfolio and the declaration should be as follows:
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AME1501
Sept/Nov 2021
ONLINE PORTFOLIO

Submitted in accordance with the requirements

for an

ALTERNATIVE ONLINE ASSESSMENT

in the

Department of Agriculture and Animal Health,

University of South Africa (UNISA)

1. General information
Initials and surname
Student number
Module name Introduction to Agricultural Economics

Module code AME1501

Assessment code HOMEMYEXM
Submission date
Examination period Sept/Nov 2021
Duration 72 hours
2. Examination
Examiner 1 Examiner 2 Examiner 3
Question 1
Question 2
Question 3
Total
Examiner’s initials

Final mark

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AME1501
Sept/Nov 2021
DECLARATION OF INTEREST

I, ……………………………………………………………………………, hereby make a

declaration that the online assessment for Introduction to Agricultural Economics
(AME1501) is my work and complies with Unisa’s policy on plagiarism. All the sources that I
have used in this portfolio were cited. I confirm that this assessment has not been
submitted at any other university for assessment.

Signed: ……………………………….
Student number: ……………….
Date: ………………………………….

TOTAL MARKS:100

©
UNISA 2021