Agricultural and Applied Economics 215
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1 Agricultural and Applied Economics 215 Introduction to Agricultural and Applied Economics Fall 2011 Instructor: Classroom: Brian W. Gould 421 Taylor Hall 427 Lorch Street Soils Bldg. Teaching Assts.: Chris Kanter Tam Le Dong 306 Taylor Hall 323 Taylor Hall 427 Lorch Street 427 Lorch Street Course Website: Office Hours: Gould: Tuesday and Wed: 1:00pm 3:00pm By Appointment Kanter: Tuesday: 9:00am 11:00am Thursday: 2:30pm 4:30pm Le Dong: Monday: 11:00am 1:00pm Wed: 2:00pm 4:00pm Course Overview: The purpose of this course is to introduce you to the disciplines of agricultural and applied economics. Both of these economic subfields are based on general economic theory. During this course we will examine the major economic topics and issues facing agricultural input industries, agricultural producers, food and fiber marketers/retailers, agricultural policymakers and natural resource managers. The effect of public policy on commodities produced, their prices and quantities, and incomes in the agricultural sector is of special concern. As the ties between agriculture and other parts of the world have grown stronger (for example, agriculture s growing involvement in energy markets), agricultural economics has grown to include the economics of natural resources, public economics, international trade, and international development. 1
2 This is a beginning course in agricultural and applied economics. It presumes no knowledge of either economics or agriculture. For students contemplating a major in agricultural and applied economics, this course represents the ideal spot to acquire a broad perspective of the field. For students majoring in other disciplines, this course is a good place to acquire some insight into the economic view of agriculture, as well as the economic way of thinking. For students who are uncertain about their major, this course represents an opportunity to see what agricultural economists study and how they look at the world. Course Structure: On Tuesdays and Thursdays I will lecture. The schedule attached at the end of this syllabus indicates what material will be covered and what readings you should complete. You should read the suggested material before coming to class to obtain a general background of the upcoming lecture(s). You are responsible for all material contained in the readings even if I or the course TA s do not cover the material in class. In addition, it is highly recommended that you download and print the course PPT files prior to class as they form the basis of my lectures. Please feel free to ask questions or make points during the lectures. While the class is rather large, I welcome questions and encourage discussion. I will try to incorporate current events in my lectures to illustrate the appropriateness of the theoretical economic models we will be developing. Friday labs are taught by my two teaching assistants, Mr. Chris Kanter and Ms. Tam Le Dong who are graduate students in the Department of Agricultural and Applied Economics. The goals of the breakout sessions are: a) to let students ask questions, b) review and augment the material taught in the previous two lectures and c) to present new material. Students are expected to attend the lab they signed up for. Students that arrive on time in their assigned session are guaranteed a seat in that session. If for some reason, you attend an unassigned session, do not take a seat until class begins. Violation of this policy will cause unnecessary delays for all students. Throughout the class we will be using the i-clicker system to assess attendance, conduct in-class quizzes and for me to obtain an understanding of the degree to which the class understands the material I am presenting. You are expected to purchase the i-clicker system which is available from the University Bookstore and other locations. It is highly recommended that you utilize the information provided on the course website concerning the use of the i-clicker system. You will need to register your hardware. The procedures for registering your i-clicker are outlined in the appropriate section of the class website. 2
3 Course Readings: The required text for the course is Introduction to Agricultural Economics, 5 th ed. By Penson, Capps, and Rosson and Woodward (aka PCRW). This is a relatively new edition and it may be difficult to find used copies. Both a soft cover and e-edition are available depending on your preference. Problem Sets: Throughout the semester problem sets will be assigned. You will hand these problem sets to your assigned TA by the assigned due date. No late assignments will be accepted. Grading System: Incentives are a big part of economics. As an economist, I hope I have created a grading scheme that provides incentives for you to do the right things: come to class, be active in a study group, work on the study problems, keep current with the material, find ways to understand the material that works for you, and think creatively about economics. Exam policies and Information: Your course grade will be based on the following: Assignments: 15% Midterms (2): 40% Attendance and In-Class Quizzes: 15% Comprehensive Final: 30% Our goal for the class is to have occasional quizzes that utilize the i- Clicker system for recording your grades. Each day your attendance in class will generate 1 pt. For each quiz question you will earn 2 points if correct. In your discussion section, 1 point is awarded for attendance and 2 points awarded for correctly answering a question presented near the end of the discussion section. Thus there is a total of 3 possible points awarded in the discussion section. By design, the assignment grade represents a small part of the class grade. However, if you discipline yourself to learn and understand deeply the material in the assignments, you will likely perform better on the midterms. As a result, the investment required to prepare for the final will be much smaller in December if you have mastered the materials on a weekly basis. The midterm exams will be offered at night and at times and places to be determined as we proceed through the semester. These exams will be designed to be 75 minutes in length. The final exam will be offered at 7:25 pm on Thursday, December 22 nd. No alternative final will be offered. All exams will be based on material presented in class, the textbook, and the study problems. Final grades will be based solely on your homework, exam scores, attendance and the results of In-Class quizzes. Extra credit or 3
4 make-up work will not be offered. All work must be done in a timely fashion. That means no incompletes. A Road Map for Success in AAE Come to class 2. Think about what is being discussed with respect to what is happening in the real economy 3. Prior to lecture, read the assigned textbook readings, print and review the class lecture PowerPoint slides relevant to that lecture 4. Attend your lab sections with questions for your TA 5. Form a study group, meet regularly and participate actively 6. Work the problem sets and asks questions in your lab sections 7. Use the web to actively seek out other economics sources that fit your learning style and help you better understand the material 8. Use your TA as a resource for understanding the course material 9. Come to exams prepared to think about and apply the economic models discussed in class not just memorize 10. Communicate with your TA and with myself. 4
5 Course Syllabus I. Introduction to Agricultural Economics and the U.S. Food and Fiber System Readings: PCRW, Ch 1: 1-12, Ch 2: II. III. IV. Theory of Consumer Behavior and Market Demand Readings: PCRW, Ch 3: 38-48; Ch 4: Measurement and Interpretation of Elasticities Readings: PCRW, Ch 5: Theory of Firm Behavior and Market Supply Readings: PCRW, Ch 6: ; Ch 7: V. Market Equilibrium and Product Price Readings: PCRW, Ch 8: ; Ch 9: VI. Natural Resources, the Environment and Agriculture Readings: PCRW, Ch 10: VII. Government Intervention in Agriculture Readings: PCRW, Ch 11: VIII. Agriculture and International Trade Readings: PCRW, Ch 16: ; Ch 17: , Ch 18: Ch19:
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