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Agec 111:Agricultural Economics Question Paper

Agec 111:Agricultural Economics

Course:Agriculture And Natural Resources

Institution: Kenya Methodist University question papers

Exam Year:2011

KENYA METHODIST UNIVERSITY

END OF 3''RD ''TRIMESTER 2011 EXAMINATIONS
FACULTY : SCIENCE AND TECHNOLOGY
DEPARTMENT : AGRICULTURE AND NATURAL RESOURCES
UNIT CODE : AGEC 111/AGEC 011
UNIT TITLE : AGRICULTURAL ECONOMICS
TIME : 2 HOURS

Instructions:

Answer ALL the questions in SECTION A and any other TWO in SECTION B.

SECTION A:

Question One.

Discuss the three problems of any economic organization.

(6mks)

What is a Production Possibility Frontier (PPF)

(2mks)

Using a possibility frontier of capital investment and current consumption, show the relationship between today’s choices and future consequences.

(6mks)

Question Two.

Define the following terms as used in economics;

Price
Market
Money
Externality

Public goods

(10mks)

Question Three

Why does the demand curve of normal goods slope downwards from left to right?

(4mks)

Distinguish between "change in quantity demanded" and "change in demand"

(2mks)

SECTION B

Question B.

Discuss the economic problems facing countries which mainly rely on agriculture.

(10mks)

Suggest specific measures that may be taken to minimize such problems.

(10mks)

Question Five.
Discuss the role of Agriculture in Economic development. (20mks)

Question Six.
Discuss the causes of un-employment in developing nations and some policies to combat un-employment. (20mks)

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